Severance Brewing to Close Downtown Location
The Sioux Falls brewery will not renew its lease at The Cascade when it expires in June 2027.
Updated on Nov. 2, 2026 in Openings & Closings
Severance Brewing Company will not extend its lease at The Cascade in downtown Sioux Falls when it expires at the end of June 2027. The business, its location, and its trademark are listed for sale with a broker, and operations will close next June if no new owner is found.
Why it matters
Owners Scott and Melissa Heckel said extending the lease would commit them to another four years they cannot make at this time. The couple wants more time with their children as the kids get older.
The brewery was started in 2019 and reported 2025 as its most profitable year to date, while the lease at The Cascade expires at the end of June 2027. The owners declined a four-year extension, and whether a buyer emerges for the business remains unknown.
The players
Severance Brewing Company
A Sioux Falls craft brewery started in 2019 that operates a downtown location in The Cascade and is now listed for sale.
Scott and Melissa Heckel
The founding owners of Severance Brewing Company who decided not to extend the lease in order to spend more time with their children.
The details
Severance Brewing Company is debt free, according to the announcement from the brewing company. The business, location, and trademark are listed for sale with a broker, and the owners announced the lease decision publicly.
Timeline
2019: Scott and Melissa Heckel start Severance Brewing Company.
2025: The brewery has its most profitable year so far.
End of June 2027: The Cascade lease expires and will not be extended.
Next June: Operations close if no new owner is found.
Market Landscape
The decision reflects the pressures independent craft breweries face when weighing multi-year lease commitments against owner priorities. It shows how a debt-free, profitable local brewery can still choose to exit a downtown location in Sioux Falls.
Customers who visit the downtown Severance location will have until the lease expires in June 2027 to do so. Anyone interested in the business, location, or trademark can pursue a purchase through the broker handling the listing.
The takeaway
Lease renewals can be a deciding factor for independent local businesses, and owners weighing them should consider how long-term commitments fit their personal circumstances. Readers interested in downtown Sioux Falls businesses can watch for the listing outcome over the coming year.
What happens next
The Cascade lease expires at the end of June 2027, and operations will close next June if no new owner is found.
Further reading
For more local business changes, see Openings & Closings in Sioux Falls.
