Council Approves Revolving Loan For Jimmy John’s, Begin Annexation Process Of Four Properties

WAYNE – A new business will be taking over the old First National Bank of Wayne building located at 106 East 7th Street

From the Council Chambers inside City Hall, Jimmy John’s will be opening in January/February of 2023 at 7th and Main.

Sam Nixon handed out photos to the board and showcased what the Jimmy John’s Wayne location would look like with drawings from Good Life Architecture and is budgeting over $800,000 to open the doors while improving the property and attracting those passing by.

Nixon is a Franchisee in York, Seward and soon to Beatrice and is a co-franchisee in Norfolk and Columbus. His Seward location is nearing the one-million dollar mark in a year and averages around 100 cars per day.

Nix Wayne, LLC will repurpose the building by gutting the old electrical, put new HVAC in and replace the roof. Roughly 30 seats will be available inside the family restaurant.

Council approved a $300,000 LB840 Revolving Loan for 10 years at 1%. Nixon will be using $221,000 of his own capital funds through a Partnership, LLC and another $300,000 from his traditional lender at 4.625% interest rate.

The LB840 Revolving Loan Committee recommended an interest rate to be set at one-half the rate set by the primary lender which would have been 2.3% but Nixon went back to his original request of 1% which could save him around $20,000 which council approved.

City Administrator Wes Blecke talked about the rationale of lowering the interest rate which pertains to sales tax.

“What projects generate the most sales tax,” said Blecke. “Well Jimmy John’s will be collecting a lot of sales tax. The last time they (Council) made an adjustment was on Ace Hardware. And Ace Hardware is retail in nature.”

The CRA owns the property at 106 East 7th Street and has a lease with Jimmy John’s with an option to buy that property out.

“Driveways in and out, there’s a really close drive-way there to the intersection that they’ll pour a curb over,” Blecke added. “So, there’ll only be one way in and one way out on either side. There won’t be two on the south side like there is now.”

Nixon, who is currently paying insurance on the building and property tax has a General Manager in mind who is local along with an Assistant Manager who is looking to move to Wayne.

Jimmy John’s in Wayne will have 12-14 full-time equivalent employees for most of the year and 8-10 over the summer along with several part-time employees. The Wayne location will be a full-service Jimmy John’s which will also offer catering to surrounding communities. Nixon mentioned regular hours would be 10 a.m. – 9 p.m. every day.

An action item which was tabled earlier this month to talk about what is the city of Wayne’s role in keeping privacy for the trail was also addressed Tuesday night. The City of Wayne had damaged the fence of Joe Gubbels when clearing the area. A damage assessment of $200 was offered for the fence damage about 18 months ago but was not agreed upon since the fence was going to be replaced.

City crew measured the area as the narrowest was around 4’8” between the property and trail proper and would be tough to grow bushes in that area.

Council approved a $400 claim to Joe Gubbels for fence damage from about two years ago.

Four public hearings pertained to annexation of property in the City of Wayne and passed on first readings. Annexation is the only ordinance that council can’t waive the three readings.

They included lot one of the Replat of Kardell Industrial Park, Great Dane Trailers, Department of Roads’ offices and Heritage Homes.

Blecke mentioned this would get all of Centennial Road in city limits.

“Before Centennial was chopped up and you actually leave city limits twice from Wayne East to Great Dane,” Blecke mentioned. “It matters to when police have an accident in that gray area of well where did it happen.”

Council also approved the City Administrative Contract along with budget work sessions to follow regular council meetings on July 19 and August 2.

Council accepted a bid for the “Wayne Lincoln Street Improvement Project” from Robert Woehler and Sons Construction, Inc. in the contract amount of $224,429 and also acted on Certificate of Payment number one in the amount of $15,750 to Robert Woehler and Sons Construction, Inc. for the “Chicago Street Improvement Project.”. The Chicago and South Lincoln Street project is about a one million dollar project which is scheduled to be completed by early to mid-fall in September/October.

Another ordinance was approved to authorize the release and abandonment of the 12-foot utility easement in the Tuffern Blue Estates Subdivision while the third and final readings to amend the zoning map for 200, 204 and 208 South Lincoln Street was approved.

The next regularly scheduled Wayne City Council meeting will be on Tuesday, July 5 at 5:30 p.m.