CHICAGO — Lagunitas informed employees Thursday morning that they plan on closing its brewery and taproom.

The brewery, located in the 2600 block of West 17th Street in North Lawndale, opened up in the summer of 2014. The company plans to move all brewing operations to their headquarters in Petaluma, California.

An employee, who WGN News is keeping anonymous, said management found out about the move Wednesday with the rest of the employees finding out in an early morning meeting Thursday.

A press release sent out in the afternoon says the changes will impact 86 employees.

The release says some employees will “retain remote roles” or relocate to California — but an internal letter WGN News obtained says, “a small number of employees will remain working in the warehouse.”

The employee told WGN News they attribute a decline in culture to Heineken buying out the company — which was completed in 2017.

“Been watching our culture go from dying on an incubator to on its death bed, to ‘holy s*** — ‘there’s been a lot of layoffs,'” the employee said. “It’s been kinda chaotic and rudderless.”

They said while they’re very disappointed, the craft beer industry as a whole is hurting right now.

The press release mirrors that.

“The changes were prompted by a need to future-proof the organization amid changing tides in the craft beverage industry. The transition will allow for a more efficient and flexible supply chain, with a greater focus on innovation and the acceleration of more sustainable brewing practices,” Lagunitas said.

The closure will occur on Aug. 1, according to the internal letter WGN News obtained.

Lagunitas said Chicago remains a priority market for the company.