Jamestown LDC moves loan to second position to let local party-supply business refinance

The Jamestown Local Development Corporation on an administrative motion agreed to move its existing loan on a downtown warehouse to a second lien position so the borrower can refinance a higher‑interest bank loan and take cash out to expand operations.

The decision lets the business — identified at the meeting as Fire Guys LLC — take a new first mortgage with Northwest Bank and use the proceeds to pay off a 10.5% commercial loan and to purchase equipment. "We are growing faster than we expected," said Mick Willis, a business owner. "We'd like to add more employees to accommodate the increase in work." Luke Ames, another owner, said the refinancing would save money on interest and provide cash to buy a second truck and trailer and hire two more employees.

Crystal, a JLDC staff member, summarized the board's prior loan to the business last year for just over $97,000 and introduced the owners to explain why the change was needed. The board discussed the business's seasonal shift into year‑round service, including bounce houses in summer and a Christmas‑lighting service in winter, and noted the company's expressed need to expand to meet demand.

Board members moved and seconded the administrative motion to change JLDC's lien position to second and carried the motion. The change places JLDC behind Northwest Bank in the priority of mortgage claims on the warehouse but preserves the loan relationship and payment terms as adjusted.

The board recorded the action as an approved amendment to the loan terms; no further conditions were announced at the meeting.

The JLDC minutes will reflect the change in lien position and the board's vote, and the loan file will be updated by staff for administrative processing.