Two years ago, it was reported that the Brooklyn Brewery was eyeing Staten Island for the location of a new production facility—but the Staten Island Advance is now reporting that the company may be lured upstate instead.

The brewery was originally scouting a site on Staten Island's West Shore as part of a planned industrial development on a former potential NASCAR raceway site, but withdrew after negotiations didn't work out. The brewery then began looking for other possible West Shore sites that could house a 200,000-square-foot facility—but the company was also looking other sites in the mid-Hudson as possible locations.

In May, Brooklyn Brewery cofounder Steve Hindy told the Wall Street Journal that the company was negotiating for a large production facility on Staten Island. "We're exporting a lot of beer. By being in Staten Island near the port, we'll reduce our transit costs significantly," Hindy said. At the time, the company was doing the majority of its brewing in Utica.

But the Advance reports that the brewery is "getting a deal they can't refuse" to locate upstate, where operating expenses, land, and labor costs are much lower than in the five boroughs. A source reportedly told the Advance that the New York state government is trying to lure the company upstate, a claim that state representatives have denied.

"State support is solely based on the merits of a project and its economic impact, and any claim that we offer different incentives based on location is entirely false," Empire State Development spokesman Jason Conwall told the Advance.

Brooklyn Brewery representative Eric Ottaway clarified that a decision has not been reached regarding the location. "We have evaluated multiple sites in New York City, upstate, and other areas throughout our search," Ottaway told the Advance. "We continue to evaluate all our options and have not made a final determination yet. We do, however, anticipate making a final decision by the end of the year."