Homestead Natural Meats, a Delta-based meat processing company, has expanded into Montrose by acquiring the assets and operations of Kinikin Processing.

While the ownership and branding have changed, Homestead plans to maintain continuity in service, staffing and local sourcing.

Gary Peebles, owner of Homestead Natural Meats, said the acquisition was driven by Kinikin’s previous ownership preparing to step away from processing.

“They were in the process of shutting it down until we reached the agreement,” Peebles said. “This allowed us to keep the processing alive and give their customers a home.”

Though Homestead has taken over the operations and equipment, it did not purchase the Kinikin building or brand.

The facility is currently being leased, with Homestead planning to relocate to a permanent Montrose site in the near future.

“We’ll operate out of there through the end of the year and then relocate,” Peebles said. “We’ve been looking for locations as we speak. The City of Montrose has wanted to get processing out of that part of town for a while anyway.”

For now, Homestead will continue to run the retail storefront at the current Kinikin location, offering cuts sourced from ranchers that are part of Homestead’s ownership group.

The sandwich and deli service has been discontinued permanently, according to an employee who was there as the business reopened under new ownership Monday.

“Our focus is on local product,” he said. “It’s raised here, it’s fed here, and it goes directly to the consumer.”

Preserving jobs, expanding reach

Peebles emphasized that all of Kinikin’s employees were retained in the transition.

“We basically kept the same staff,” he said. “The same butchers that prepared the cases and worked in the retail side are still down there.”

He said the acquisition ensures continuity for existing wholesale and retail customers. “They’ll continue to take care of the same accounts, the same individuals they had before.”

Homestead, which was founded in 1996 by a group of six ranchers from the Hotchkiss, Paonia and Crawford areas, has grown into one of the most significant processors on the Western Slope.

The company now operates multiple plants in Delta, including the original Homestead facility and Callaway Packing—a facility with roots dating back to 1959.

Callaway’s had not harvested animals since 1994 until Homestead took over and invested in restoring its capabilities.

“When they designed that thing in 1958, they did an amazing job,” Peebles said. “All we did was go back to the original blueprints, expand a couple coolers, and update everything.”

That expansion gave Homestead the capacity it needed to process pork, lamb and goat at its original plant, while reserving Callaway’s for beef production.

With the addition of the Montrose operation, Homestead can now meet the needs of a wider regional customer base while keeping its values grounded in local sourcing and sustainability.

Now more locally owned

Kinikin Processing, under previous ownership by Compass Capital—a holding company from out of state—had experienced instability in recent years, Peebles said. Compass Capital had acquired Kinikin as part of a larger plan tied to a ranch and calf operation near Eagle, but struggled to maintain steady leadership.

“They’d gone through a couple of managers back to back,” Peebles said. “One of them, Bill Beltano, was a great guy, and I’d known him for years, but after he passed, there was a lot of unrest.”

That shift away from local control made the transition to Homestead a welcome one for many of the employees.

“I was down there all last week doing inventory, and a couple of employees said, ‘We haven’t seen this much ownership involvement since the Proxs left,’” Peebles recalled, referencing Kinikin’s original owners.

Though Peebles declined to share the purchase price, he confirmed that the Kinikin name and building remain with Compass Capital. Homestead is operating strictly under its own brand.

“We just bought assets and equipment and are leasing the building to continue operations,” he said. “The Kinikin name is still held by Compass—we didn’t buy that.”

Looking ahead

The company expects to continue offering wild game processing at the current Montrose location through the upcoming fall hunting season.

Beyond that, the goal is to transition to a new facility within Montrose that better suits their long-term goals and complies with city expectations.

Peebles said Montrose residents should see the acquisition as a win for the local food economy.

“When you look at custom processing, communities need somewhere they can take animals and get them processed,” he said. “We’re just continuing the work that had been done there and making sure the product stays local.”

Homestead already sells to a number of retail and wholesale customers in Montrose, so the move strengthens their foothold in a market they were already serving indirectly.

Peebles said the company remains committed to its founding principles: supporting local ranchers, processing high-quality meats, and delivering them directly to consumers.

“The whole point is to maintain our local towns and support that because we all live here,” he said. “We shop here. We want to continue to provide a quality product that is truly local and sustainable.”

About Homestead Natural Meats

Homestead Natural Meats is a cooperative of six family-owned ranches located in Colorado’s North Fork Valley.

These ranches, some of which have been in operation for over a century, are committed to raising high-quality cattle without the use of antibiotics, added hormones, or animal by-products.

The company prides itself on having complete control over the entire production process, from pasture to plate.

This approach ensures product traceability and allows Homestead to maintain high standards of animal welfare and meat quality.

Homestead’s USDA-inspected processing facility and retail store are located in Delta, Colorado. The store offers a variety of products, including steaks, hamburger, roasts, stew meat, bacon, sausage, pork chops, pork roasts, ribs, and locally sourced dairy products.

In addition to its retail operations, Homestead is involved in community initiatives such as the “Meals for Minds” program, which partners with the Delta County School District to provide local, premium beef, pork, and lamb to students.

With the recent acquisition of Kinikin Processing’s assets and operations, Homestead aims to expand its reach while continuing to uphold its commitment to local sourcing and sustainable practices.