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Dan Patch Lounges closes 1989The June 1989 Savage Review reports: An end of an era: City closes Dan Patch Lounge
Citing economic reasons, the Savage City Council voted to permanently close the on-sale portion of the
municipal liquor store, commonly known as the Dan Patch Lounge. The action took place April 27.

The City of Savage established its first municipal liquor store shortly after the end of prohibition in the
mid 1930s.

Also appearing on the front page of this newsletter: A historical display about M.W. Savage and Dan Patch was created for the M.W. Savage school.

Dan Patch InnSt. Cloud Times 1990 ad for the Dan Patch Inn.
Dan Patch Coins moves into old Savage LibraryNovember, 1986 Savage Review features a story about Dan Patch Coins moving into the former Savage Library. The building at one time was the Savage State Bank, An office for the Glendale Town Board and was then owned by the City of Savage and leased to Don Hawthorne, owner of the company. In 2017 the building still stands as a bike shop.
Dan Patch CondominiumsDan Patch Condominiums at located on Savage's original Main Street which is now 4845 W 123rd Street.
Dan Patch Dairy and Grocery 19671967 Burnsville - Savage Local Directory ad for Dan Patch Dairy and Grocery.
Downtown Savage 1975A copy of a newspaper clipping from August 1975 Minnesota Valley Review featuring the Dan Patch Parade. The Razors Edge Barbershop (The original Berrisford store) is somewhat visable.
Dan Patch Days 2018Dan Patch Days float June 2018.
Dan Patch Liquors Downtown 2016The final days of business for the long established DAN PATCH LIQUORS.

May, 2016 the Pacer Newspaper reported that: Plans for the future of the city’s liquor operation are now progressing, with the city negotiating a lease agreement with HyVee for a liquor outlet at its new store (projected to open in spring 2017), while also negotiating with a potential buyer for the Dan Patch Liquor building in downtown Savage.

What initially spurred staff to consider changes to the city’s liquor operation was a proposal from Hy-Vee last summer to open a city-run liquor outlet as part of its new store, which is set to open at the northeast corner of county roads 27 and 42 next year. Hy-Vee typically likes to have liquor outlets at its stores, and when HyVee officials learned that Savage only had municipal liquor stores, it developed a proposal in which the city of Savage would lease space out of the new store to operate a municipal liquor outlet.
Dan Patch Liquor Store and LoungeExterior of the Dan Patch Liquor Store and Lounge.
Dan Patch Historical Society turns 25 years old 2017March 18, 2017 - Savage Pacer reports: This month the Dan Patch Historical Society is 24, a quarter of a century old.
25 years - Dan Patch Historical Society 2017May 18, 2017 Savage Pacer reports on the 25th Anniversary of the Dan Patch Historical Society.
Dan Patch LanesThe Dan Patch Lanes was one of the business sponsors in the 1981 Burnsville High School yearbook.
Dan Patch Lanes 1968This ad for the Dan Patch Lanes appeared in the 1968 Burnsville Savage Local Directory sponsored by the American Legion.
Savage changed its municipal liquor operations in 2017April 28, 2018 Savage Pacer:

Savage changed its municipal liquor operations in 2017. Here's how it's doing

By Christine Schuster | cschuster@swpub.com Apr 28, 2018

When residents shop for groceries at Hy-Vee in Savage, they may not realize they’re entering a city-operated liquor store when they make a stop at Savage Wine & Spirits, housed in the same building.

The city of Savage is one of the first known communities to embark on the partnership with the Iowa-based grocery store chain — a relationship that arrived in February 2017 after the city decided to close Dan Patch Liquor in downtown Savage, another city-owned liquor store that had been operating in the red for many years.

The 2017 sales at Savage Wine & Spirits doubled those at Dan Patch Liquor from the year before.
Unlikely partnership

The opportunity to revamp the city’s liquor operation came into focus in 2015 when Hy-Vee proposed the liquor store as a part of new store plans after learning that Savage only had municipal liquor stores. The city had been mulling options to increase liquor sales after Dan Patch Liquor had operated at a loss for many years.

The city worked to keep Dan Patch Liquor open in connection to its efforts to revitalize downtown Savage, and yet the store faced difficulties with its neighborhood location and low visibility, Savage Finance Director Julie Stahl said. City officials discussed options of shutting down the store or relocating it.

“Hy-Vee came to us and asked if we were interested in partnering with them and that answered the question,” said Savage City Administrator Brad Larson. Larson said that no other city had a partnership with Hy-Vee and it wasn’t common for a city to rent a space from a for-profit business.

“Our biggest question was how much are we going to take from Marketplace,” Larson said.

Marketplace Liquor, located next to the Fresh Thyme grocery store off Highway 13, is the city’s other liquor store. For years, the city profited in the liquor fund because the success of Marketplace Liquor was able to absorb the loss taken by Dan Patch Liquor. It was clear that foot traffic played an important role in profitability.

The cost to run the new store out of Hy-Vee posed another big question to city officials: How would it impact liquor fund profitability?

Because the cost to operate the new store in partnership with Hy-Vee would far exceed the costs of operating Dan Patch Liquor, Larson said the city would

Although the new store promised an increase in foot traffic, Larson said the city was concerned about the steep increase in operating costs. The city paid $108,521 for its lease and utility bills for the Hy-Vee space in 2017, compared to a utilities bill of $14,853 at Dan Patch Liquor in 2016 — a building which the city owned and didn’t have to rent.

In the 10 months of business before 2017 came to a close, Savage Wine & Spirits raked in about $2.3 million in sales — more than double the sales at Dan Patch Liquors from the year before when the store’s total 2016 sales were $947,066.

Stacy Schmidt, Savage’s director of liquor sales, said business at Marketplace Liquor continues to thrive despite the new store.

“It’s wonderful, both liquor stores are in these great locations,” Schmidt said. “We have different types of shoppers at both locations and different products sell at different places.”

According the Schmidt, Savage Wine & Spirits makes more on beer thanks to a specialized craft beer cooler. Marketplace Liquor offers more wine selections, although Savage Wine & Spirits has a selection of high-end wine.

Schmidt also explained that setting up shop came with a lot of one-time opening expenses that impacted the bottom line in 2017. The biggest factor in 2017’s liquor fund results, according to Stahl, was taking a loss of $79,880 on the sale of the Dan Patch Liquor property (now a Glowing Hearth and Home fireplace store).

According to city documents, the city ended 2017 with $73,457 in the hole across the board for its liquor fund, or money the city earns through liquor sales. However, city officials had budgeted for much worse. The city planned for a loss of $265,252. Stahl explained that without the financial loss on the Dan Patch Liquor store sale, the city would have actually seen a profit, adding they are happy with the nearly $200,000 swing toward profitability.

Sales from both liquor stores came in around $4.8 million in 2017, above the budgeted amount of about $4.6 million.

Looking ahead to 2018, city officials budgeted for a liquor fund profit of $72,000 from both stores, a number they calculated before the 2017 numbers were known.

“We want to make sure we are being conservative with the numbers,” Larson said. “That’s what we budgeted but I would expect us to do better.”
Paying down debt

The liquor fund money continues to go toward a bond that was issued to the city back in 1999 for the purchase of the Marketplace Liquor building. Each year, the city has made the bond payment and also put any excess profit toward paying down the debt. The city’s last year of paying the bond is 2019.

“Anything that we get from that point on is free and clear, there is no obligation,” Stahl said.

The Savage City Council will make the future decisions related to the use of the liquor funds. Larson said that the funds will likely go toward community projects to cushion the use of general fund money or accumulating debt. In previous years, the city council used dollars from the liquor fund toward building the McColl Pond Environmental Learning Center and the Savage Public Library.

“The short story is that it will help reduce costs for the city and help reduce pressure on the taxes,” Larson said. “That’s what we hope to see.”
Dan Patch DaysDan Patch Days graphic 2013.
Dan Patch Lounge and Liquor Store 1960sOperated as a municipal liquor store, the Dan Patch was where the Depot is now located in downtown Savage. This is a scan of the photo which appeared in a Dan Patch booklet.
Dan Patch BowlAd for the newly opened Dan Patch Bowling Lanes, May 1957.
Dan Patch BowlAd for the newly opened Dan Patch Bowling Lanes, May 1957.
Heritage Room Plaque, SavageThe Heritage Room at the Savage Library features the history of Dan Patch and the history of Glendale, Hamilton, Savage.
Dan Patch rolls down memory laneThe Last pins fall this month at 51 year old bowling alley in Savage - April 18, 2007 - Minneapolis Star Tribune.

Dan Patch StablesThe Dan Patch stable, owned by Marion Savage.
Dan Patch statueA clay model of the Dan Patch statue 2018.
Dan Patch and Marion Savage statueWinter 2018 view of the Dan Patch and Marion Savage statue at the Savage Library. Photo compliments of the City of Savage.
Dan Patch Taj Mahal stables in SavageThe Dan Patch Taj Mahal stables in Savage-
Dan Patch was a world-famous harness race horse who lived here until 1916. He was purchased and brought to Minnesota by Colonel Marion Willis Savage, who lived in Bloomington at the site of the present-day Masonic Lodge on the bluffs overlooking the Minnesota River. Colonel Savage purchased 700 acres of property on the south side of the river as the home of his "Taj Mahal" stables, which consisted of several barns and two tracks.
Dan Patch the Wonder horseThe Savage Review - August 1990 the newsletter reprints a story about Dan Patch which appeared in the July, 1966 issue of the Minnesota Motorist, a publication of the Minnesota State Automobile Association.
Savage Library - Heritage ArtworkWithin the Savage Library is the Heritage Room established as a joint partnership between the library system, the City of Savage and the Dan Patch Historical Society in 1997. Throughout the building you will find art depicting Dan Patch, Savage and Scott County History. Shown is a wooden recreation of Dan Patch.
The Dan Patch Taj Mahal stables in SavageDan Patch was a world-famous harness race horse who lived here until 1916. He was purchased and brought to Minnesota by Colonel Marion Willis Savage, who lived in Bloomington at the site of the present-day Masonic Lodge on the bluffs overlooking the Minnesota River. Colonel Savage purchased 700 acres of property on the south side of the river as the home of his "Taj Mahal" stables, which consisted of several barns and two tracks
Dan Patch Bar and LoungeMarch 17, 1983 Minneapolis Star Tribune ad for the Dan Patch Bar and Lounge.
Lake Marion and Marion SavageThe July, 2018 Dakota County Historical Society newsletter features Lake Marion in Lakeville and its connection to Marion Savage, owner of Dan Patch.
Then and Now Savage - Ottawa Avenue.The final of three "Now" photos I shot in Savage Minnesota, top circa 1930's. Location: Ottawa Ave. The Razors Edge Barbershop, once the Garvey store still stands.
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