Taco Bell's Dream of Beer Milkshakes Will Have to Wait

Taco Bell’s soon-to-open upscale spinoff restaurant—the name is a mouthful: U.S. Taco Co. & Urban Taproom—isn’t going actually to have a taproom, at least not at the first location in Huntington Beach, Calif. And that means the world will have to wait for a fast-food chain to embark on the bold experiment of popularizing the beer milkshake, an anticipated item on the menu.

Due to a snag securing a liquor license in a city already evaluating stricter alcohol rules, the Taco Bell’s take on a fast-casual restaurant will instead serve soft drinks, such as glass-bottle Mexican Pepsi and Olde Brooklyn soda, for its July opening. “We literally sat down and tasted 100-something sodas last week,” said Taco Bell’s senior brand manager, Jeff Jenkins, who has been leading the project.