Oswego trustees have authorized approval of a loan and a development incentive grant for a new restaurant and entertainment venue aiming to open in the village’s downtown.
The developer applied for a $340,000 loan and a $40,000 economic development grant to modify the interior of 61 Main St. for a new venue to be called Nash Vegas Saloon. The site formerly housed the Oswego Brewing Company, which closed in September 2023.
The loan will come through the village’s revolving loan program. It was developed to build a “stronger economic base” and expand job opportunities in the village, while the economic development incentive grant program was created to assist in property improvements that will enhance Oswego’s downtown business district, Oswego Economic Development Director Kevin Leighty said in a report to trustees.
“The applicant plans to create a concept similar to Saddle Up in Aurora which offers food service, a full bar, live music and line dancing,” Leighty said. “They are established restauranteurs.”
The economic development incentive grants initially were designed to help pay for facade improvements. However, the program has since evolved to allow for interior modifications to improve the integrity of a building, Leighty said.
The revolving loan program dates back to 1985, Leighty said.
“It began with $185,000 and it has since grown to more than $450,000, mostly through interest and investment income,” Leighty said.
The village has issued eight loans through the program since 2006.
“We have never had a default,” Leighty said.
Developer Yonas Hagos has estimated the project for the new venue will cost $740,000.
Leighty said both the loan program and the incentive grant are match-based.
“They have to spend the funds initially and will be reimbursed for the $40,000,” Leighty said of the grant incentive. “For the $340,000 in loan funds, it is more of a pay as you go. As work is completed, we will give them up to 50% of loan funds which they will then pay back once they open.”
The loan will feature a 3% interest rate on the outstanding balance with a repayment term of 10 years, he said. The loan is supported by equipment as collateral and a personal guarantee, according to Leighty.
Leighty said there is work to be done at the site.
“There is a substantial amount of improvement to be made to the space. There’s never been a kitchen or restaurant in there,” Leighty said.
Oswego Village President Ryan Kauffman believes the new venue will be a success.
“I love the concept of Nash Vegas,” he said. “I think it is going to be a huge hit in our downtown.”
“This project is special,” Hagos told trustees. “We are going to take our time to get it right.”
Linda Girardi is a freelance reporter for The Beacon-News.
