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Report: Liautaud bought Florida house in June

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Illinois

* Did Jimmy John’s founder James Liautaud really make an abrupt decision to pull his family out of Illinois and move to Florida after the income tax hike passed? Maybe not…

A check of public records indicates that an LLC with Jimmy John Liautaud’s last name bought a $4 million home at Key Largo’s Ocean Reef Club in June. […]

[A] check of property records in Monroe County found the $4 million purchase by Liautaud Development Group LLC of Champaign at Ocean Reef on June 1. In September, a permit was issued to allow some demolition work on the house.

The Ocean Reef Club club is mighty swanky, with its own private airport, two golf courses, and a private school. I looked at a vacation rental last year for about two seconds online before I figured I couldn’t afford it.

Treasurer Dan Rutherford is a friend of Liautaud’s and told WLS last week that the businessman was upset at Illinois for a variety of reasons, including our minimum wage. Liautaud has been a major contributor to Republicans here, nationally and in Arizona, where a $10,000 Liautaud Development Group check got involved in a court case involving the always controversial Maricopa County Sheriff.

posted by Rich Miller
Monday, Jan 24, 11 @ 3:02 pm

Comments

i express no surprise. i’ll bet he finds he pays more taxes in florida than he does here, too…

Comment by bored now Monday, Jan 24, 11 @ 3:06 pm
Not surprising a rich guy bought a place in Florida.

When did he pull his kids out of school and move them down there? Before or after the tax hike?

Comment by S Monday, Jan 24, 11 @ 3:06 pm
Did anyone really think that he was telling the truth?

Comment by Palatine Monday, Jan 24, 11 @ 3:07 pm
Looks bogus if they were already living down there before his grand declarations.

Looks legit if he let his kids start school up here, even though he already owned the place down there.

Comment by S Monday, Jan 24, 11 @ 3:08 pm
“Key Largo, Montego, baby why don’t we go…”

Hey, isn’t there a Kokomo in Indiana? Maybe that didn’t feel right in his soul.

I really hope he enjoyed all of the attention last week. I hope we can all move forward now, without mentioning JJ and the tax hike in the same sentence.

Comment by 47th Ward Monday, Jan 24, 11 @ 3:08 pm
The dude can obviously foresee the future. It would have been nice to get a heads up on those alfalfa sprouts.

Comment by wordslinger Monday, Jan 24, 11 @ 3:09 pm
S, he said initially that he sent his kids to school in Florida the first week of January, which would be after the end of the semester here.

Comment by Rich Miller Monday, Jan 24, 11 @ 3:09 pm
Wordslinger,

Yogi Berra man once said, “Predictions are hard, especially about the future.”

Comment by 47th Ward Monday, Jan 24, 11 @ 3:12 pm
He moved so fast you’ll freak.

Comment by Ron Burgundy Monday, Jan 24, 11 @ 3:12 pm
thanks, Rich… much appreciated, as always

Comment by S Monday, Jan 24, 11 @ 3:15 pm
So…

His LLC buys the home, and (per his previous comments), he is renting it from himself?

Sounds fishy.

Is he doing that so he can write off some things as business expenses and business expenditures?

Comment by Jo Monday, Jan 24, 11 @ 3:20 pm
Are you all suggesting that predicting an income tax hike was infathomable? It was a staple of Quinn’s platform. Boy, didn’t see that coming, huh?

Comment by Pink Tomato Monday, Jan 24, 11 @ 3:25 pm
===Boy, didn’t see that coming, huh? ===

What a lot of people didn’t see coming was Quinn’s election.

Comment by Rich Miller Monday, Jan 24, 11 @ 3:26 pm
–Are you all suggesting that predicting an income tax hike was infathomable? It was a staple of Quinn’s platform. Boy, didn’t see that coming, huh?–

LOL, yeah, Quinn was a slam dunk back in June.

JJs quotes in the News-Gazette sure make it sound like he made up his mind after the increases passed.

Although, your original point is well taken. Gov. Brady would have done the same thing. He just would have said “wow, it’s a lot worse than I expected” since obviously the budget and revenue numbers have been hidden from him during his tenure in the GA.

Comment by wordslinger Monday, Jan 24, 11 @ 3:31 pm
He has a home in Florida? Next thing you know we’ll find out he drives a Porsche down there. Who is this guy?

Jimmy John better not run for office. This is a ready-made spooky music TV ad.

Comment by TD Monday, Jan 24, 11 @ 3:31 pm
The Potbelley’s Wreck on wheat (original size please) did me just fine today. I went 5 minutes out of my way, and past what was my favorite JJ before, but I ain’t going back there again.

Comment by Mongo Monday, Jan 24, 11 @ 3:31 pm
So the guy buys a 2nd home in Florida–big deal!

At issue is movement of the HQ to Florida because he is fed up with the so-called state leadership. He said he was applying for residency in Florida and he would pay no state tax. Why do you think athletes live in Florida, outside of the weather?

Just because he purchased a home in June does not mean he is being dishonest with his comments now. He has options and he may just exercise them.

Comment by Wally Monday, Jan 24, 11 @ 3:42 pm
+1 on the boycott of JJ.

Comment by Highland, IL Monday, Jan 24, 11 @ 3:43 pm
regardless of his speculations and aprehensions he isn’t the first nor the last to realize that those that are most financially agile (the biggest tax payers) will be the quickest to react to Illinois’ insatiable tax-and-spend. Will anyone be surprised to see no positive impact from increased taxes. Higher rates will eventually decrease revenue…especially when they punish the risk takers.

Comment by Jay Monday, Jan 24, 11 @ 3:54 pm
The outrage!! Someone who has built a wildly successful business has profited from it and is giving himself and his family the ability to enjoy the fruits of his labor!

Tax hike or not, smart people saw the financial wreck the state had become and wanted no part of it. I don’t blame Jimmy John one bit and the #4 Turkey Tom tasted good today.

Comment by Anonymous Monday, Jan 24, 11 @ 4:00 pm
===Illinois’ insatiable tax===

First income tax hike in 24 years = insatiable?

Comment by Rich Miller Monday, Jan 24, 11 @ 4:03 pm
Anonymous, I don’t blame somebody for moving to that place. Heck, I wouldn’t mind having a winter palace on those grounds if I could afford it - even though I prefer South Beach. It’s not about that. It’s about what he’s been saying and what he did.

Try to avoid looking for Reds under every bed. Thanks.

Comment by Rich Miller Monday, Jan 24, 11 @ 4:04 pm
A lot of us have 2nd places/homes/property in FL but pay taxes in IL because we’re here more than 50% of the time. Change the tax balance like IL legislature did & it’ll change our behavior [and % of time we’re here]…. resulting in loss of IL income taxes, corporate taxes & license plates.

Comment by North of I-80 Monday, Jan 24, 11 @ 4:08 pm
Wally: i don’t think anybody cares that mr jimmy johns wants to move to florida — everybody should! — but rather that he is pretending that the reason he is moving to florida is because illinois raised the state income tax half a year or so after he started moving to florida (although, i can admit that maybe not everyone is offended that we were lied to)…

Comment by bored now Monday, Jan 24, 11 @ 4:10 pm
–At issue is movement of the HQ to Florida because he is fed up with the so-called state leadership.–

Is that what he said? When and where?

He’s quoted in the News-Gazette as moving his family to Florida because of the tax increases. Presumably, he means the personal income tax increase, because his company will still pay the corporate tax on its Illinois earnings.

He also was quoted in the News-Gazette that he was taking offers on relocating his corporate headquarters from other states — plural, so apparently not just Florida — who were “courting” him and making him feel “wanted.”

He can do whatever he wants. If I had $4 million to burn on a house, I’d be in Palm Springs right now (Florida is a little too weird for me).

But if he takes corporate welfare from another state for the headquarters, he’ll be tossing his Illinois employees out of work for his own bottom line, and no one else.

Comment by wordslinger Monday, Jan 24, 11 @ 4:10 pm
North of I-80: don’t worry, we can replace you. there are a lot of people right here in illinois looking for work. good people. smart people. don’t worry about it!

Comment by bored now Monday, Jan 24, 11 @ 4:11 pm
He said he was tired of being piled on by different forces and this was the last straw. Maybe the tax increase was ALWAYS going to be the last straw for him regardless of when it happened. Business is business and I’ll give JJ the benefit of the doubt that the primary reason for contemplating a move is because it benefits his business. I don’t blame him at all.

Comment by Anonymous Monday, Jan 24, 11 @ 4:12 pm
–Tax hike or not, smart people saw the financial wreck the state had become and wanted no part of it.–

Really? So JJ is shutting down his Illinois restaurants?

No, he’s not.

What’s so hard to understand? A rich guy moves to Florida (shock) and he wants a handout for his corporate headquarters. If Illinois offers the best deal, he’ll keep it here. Happens all the time.

What he’s got himself tangled up in is the whole “Victim” scenario he’s peddling. It doesn’t hold up to scrutiny.

Comment by wordslinger Monday, Jan 24, 11 @ 4:23 pm
It’s funny how people criticize his decision, despite it being a rational one. Any good businessman looks to reduce costs and expenses. If moving locations ends up saving money then he should do it…especially if some other state is willing to provide them some kind of economic incentive to do so. Illinois has given economic incentives in the past with businesses they wanted to attract, so they shouldn’t be complaining.

Comment by Rational Decisions Monday, Jan 24, 11 @ 4:31 pm
#

–Illinois has given economic incentives in the past with businesses they wanted to attract, so they shouldn’t be complaining.–

Has someone in the governor’s office or DCEO complained about JJ?

I imagine they’re trying to determine the price it will cost to keep the corporate headquarters here.

Comment by wordslinger Monday, Jan 24, 11 @ 4:51 pm
I’m sure that everyone in the Main Stream Media who latched onto this story in the initial hysteria will be running a follow-up story.

@wordslinger -

All multi-millionaire victim stories are horse-pucky.

Comment by Yellow Dog Democrat Monday, Jan 24, 11 @ 4:52 pm
and the real wealth of Illinois lies beneath a blanket of snow
side with the seeds

Comment by vole Monday, Jan 24, 11 @ 5:08 pm
Rational Decisions: clearly, you are unfamiliar with florida. liautaud will not be opening his corporate headquarters in key largo. not unless he’s willing to pay premium wages. he’d be hard pressed to find people there who want to sit behind a desk. now, it’s possible that liautaud has no idea what he’s getting into, no one ever said he was the smartest person in the world. i believe he’s fed up, but i doubt this is a new thing…

Comment by bored now Monday, Jan 24, 11 @ 5:40 pm
I was pretty ticked off about the minimum wage hikes, too…three in a row, then I finally raised my prices. I couldn’t afford to give my experienced people raises. I really didn’t like raising my prices.

As for JJ, as someone said above: he has options, so he might just take advantage of them. Wordslinger and Yellow Dog go for the classic liberal logic that once you’ve made “enough” money you lose some of your rights to the rest of it. My favorite part of this logic is watching the arbitrary numbers at which the state gets to go after more money. Example: Obama’s constantly changing annual income amount that he uses to define middle class (or, to be fair, McCain’s numbers for that same thing). Or the changing death tax limits. Classic.

The only thing the petty boycott does is convince him he should take his capitol elsewhere…and convince any other business looking to relocate that they should just silently slip out instead of trying to stay and fight. It’s not worth damaging your existing stores just to try to keep growing here, especially if the growth opportunities somewhere else end up being better.

Comment by Liandro Monday, Jan 24, 11 @ 5:45 pm
@bored now:

I think JJ only mentioned himself going to FL…the corporate headquarters he was more vague abount. He mentioned IN, which would make far more sense then FL. IN is more central to his corporate stores and his brand, etc. I’m sure this is all stuff they have to look over before anything serious happened. As others have said, once the rhetoric is over the hard numbers of places like FL, WI or IN aren’t necessarily that much better then Champaign.

Comment by Liandro Monday, Jan 24, 11 @ 5:49 pm
If this guy is giving $$ to Sheriff Arpaio then good riddance to him.

Comment by DuPage Dave Monday, Jan 24, 11 @ 6:20 pm
–Wordslinger and Yellow Dog go for the classic liberal logic that once you’ve made “enough” money you lose some of your rights to the rest of it.–

Point out where I wrote anything resembling that, slick. It should be easy to do, since you made a point of attaching my handle to it.

He can do what he wants. He’s looking out for himself. I just don’t buy the victim spin he’s been peddling.

Comment by wordslinger Monday, Jan 24, 11 @ 6:24 pm
wow, two posts in one day where your “the dude doesn’t reside”
headline would have workedQ

Comment by amalia Monday, Jan 24, 11 @ 6:58 pm
Why the connection to Rutherford?? Well maybe they both want to be some type of savior to the pocketbook - when in reality they know the previous leaders have done a good job of watching over the process. We can’t cut all “fat” but most leaders try their best to good for the majority - but alas they scare for sensation - make it seem like the sky is falling!!! give me a break!!! Some of the “new” officials wouldn’t know it if the sky hit them in the face!!

Comment by Takes one to know one Monday, Jan 24, 11 @ 7:00 pm
===Why the connection to Rutherford??===

He lived in Rutherford’s district.

Comment by Rich Miller Monday, Jan 24, 11 @ 7:06 pm
–It’s not worth damaging your existing stores just to try to keep growing here, especially if the growth opportunities somewhere else end up being better. –

Liandro, interesting fantasy world you live in. He has plenty of restaurants here and has given no indication that will change, has he?

Where do you get your stuff? Just make it up? It appears so.

Comment by wordslinger Monday, Jan 24, 11 @ 7:09 pm
Lazy journalism at its finest. I’m sure the Florida pad is but one of many holdings. He could put the kids in school in Wisconsin or several other states based on rumors I’ve heard around town.

Comment by Champaign Monday, Jan 24, 11 @ 7:26 pm
Ditto what Wordslinger said, until further notice

Comment by Yellow Dog Democrat Monday, Jan 24, 11 @ 7:28 pm
So I guess losing the JJ headquarters to Florida is OK because he just wanted to live in Florida. And everyone wants to live in Florida, so it is OK that he is pulling up his business HQ. So, it wasn’t just about the taxes. It was the taxes and his new house in Florida, because everyone who gets a place in Florida ends up moving their businesses there.

Nothing to see here. Just move along. Let’s keep pretending he doesn’t mean what he says even after all the jobs he brought to Champaign are gone.

Hey the Boston Market owner’s wife wanted to move to Golden Colorado, so they moved everything from Boston to Denver. No one got hurt when that happened right? At least when they did lay off all those people in Boston, they didn’t act like it was because it cost them so much less in taxes to do so. They kept quiet.

Whatever.

All these people claiming that nothing is going to happen need to stop a moment and hold their breath on these new taxes for a moment. The idea that NO ONE is going to move out of Illinois because of them is as ridiculous a statement as claiming that EVERYONE is going to move out.

I’m still waiting. The economy is not rebounding. Gas prices are increasing. No reason to pretend everything is fine.

Comment by VanillaMan Monday, Jan 24, 11 @ 7:38 pm
–So I guess losing the JJ headquarters to Florida is OK because he just wanted to live in Florida. And everyone wants to live in Florida, so it is OK that he is pulling up his business HQ.–

Where did you see the announcement that the JJ headquarters is moving to Florida?

Comment by wordslinger Monday, Jan 24, 11 @ 7:45 pm
Looked up and saw the jet has been to Napa, Ft. Myers, Austin, Newfoundland, Vegas, New Jersey, St. Martin, Kansas City and Iceland in the last few months. I bet the corporate sandwich folks are hoping to move to St. Martin.

Comment by Anonymous Monday, Jan 24, 11 @ 7:49 pm
Wife’s home from work, so daddy duty is over atm.

@wordslinger:

Yeah, it IS easy to do. The moment you start going on about “rich” (to use your word) guys trying to play the “victim” I’ll call you out for playing the class warfare card. The truth is everyone who pays taxes in IL is the “victim” of a lame-duck discussed-for-one-week tax hike that was far bigger than anyone dared mention (except for some Quinn advisers who were quickly and hypocritically quashed). The “rich” aren’t less of a “victim” just because you arbitrarily decide they have no right to speak. Someone like JJ is affected by both increases and has as much of a right to bluster as anyone else.

Indeed, veryone in IL has a right to be angry over the extra money the state just took from them. “Rich” guys don’t lose that right just because you call them “rich”. Frankly, if anyone has less of a right to be angry it is people who voted for Dem’s. Dem’s passed it, and a Dem is going to sign it.

As for your second comment, I can’t properly respond to it since you mistake who my sentence was referring to. It was referring back to “any other business thinking about relocating” or focusing their expansions elsewhere, NOT to JJ. I apologize if that wasn’t clear. Specifically, I was referring to the propensity of some to boycott any business that tries to fight back. Also, I have no idea why you think I was saying JJ would want to give up existing stores…my entire point was that you WOULDN’T want to risk those. As for fantasy world…I wish I had that luxury. I get my info from real world experience running businesses, including dealing directly with several aspects of JJ’s.

@yellow dog:

You describe a complaint by someone highly invested in Illinois as just another of the “multi-millionaire victim stories”, all of which are “horse-pucky”. I shouldn’t have to spell this out, but if you fall into the trap of deciding who can complain about lame-duck tax increases based on some arbitrary label of whether they are “rich” or a “multi-millionaire”, then you are following the ideology I referenced. The only reason you don’t hear little guys complain is because they don’t make the paper.

Comment by Liandro Monday, Jan 24, 11 @ 9:45 pm
I went to EIU from 79 to 83, right about the time this guy started his business behind Ikes, near the Panther Lounge. The sandwiches were OK.

He however, was kind of an obnoxious, rich kid whose Mummy and Daddy set him up in business. He had mostly family and friends working for him. I don’t remember any students or townies working there.

Comment by Adios Monday, Jan 24, 11 @ 9:47 pm
Oh big surprise, a conservative businessman who tries to tie broad public policy matters to his own personal decision-making turns out to be full of crap.

Anyone who’s ever covered politics for more than 6 months has heard from at least one bar owner who “shut down his business” because of a smoking ban or moved out of the state because of taxation. Take it with a HUGE grain of salt.

Comment by Ben Monday, Jan 24, 11 @ 9:48 pm
––Wordslinger and Yellow Dog go for the classic liberal logic that once you’ve made “enough” money you lose some of your rights to the rest of it.––

Liandro, once again, where do you see, anywhere, that I wrote what you claim above?

Make your points without putting words in my mouth.

Comment by wordslinger Monday, Jan 24, 11 @ 9:54 pm
Where is see it is in the way you have passed him off as a “rich guy” through multiple threads while simultaneously denying his ability to, as you put it, play the “victim”.

If you are not intending to tie those concepts together…i.e. denying that he can truly be a victim of a tax hike since he is a “rich guy”…then you shouldn’t conjoin them the way you do. If I’m mistaking your angle, I’m not the only one–note the way Yellow Dog referenced you while jumping right onto the theme of “multi-millionaire victim stories”.

Comment by Liandro Monday, Jan 24, 11 @ 10:30 pm
@Liandro -

If Jimmy John is a “victim” of anything, its democracy.

We have been debating the need for a tax increase in Illinois since 1994. 17 years. How you and Jimmy John missed that debate and suddenly felt it was sprung upon you at the last minute is beyond me.

Some of the tax increases being discussed were bigger than the one that passed. Some of them were smaller. Some expanded the sales tax, or included property tax relief.

Even if you weren’t aware of the options on the table, your state representative and state senator were. That’s the way a representative democracy works.

Maybe some day e-democracy will advance to the point where 12 million people log in to capitolfax, we debate the merits of legislation objectively and dispassionately, and then based on the best interests of the entire state we hit the Like or Dislike button.

But until then…

Comment by Yellow Dog Democrat Monday, Jan 24, 11 @ 10:57 pm
Liandro, here’s what you don’t seem to understand. Liautaud is free to say or do anything he wants about this tax hike. That’s America. People here are also free to comment one way or another on what he says or does. That’s America. And people are free to withhold their money from his stores or spend even more if they so decide. That would also be America. Those freedoms just ain’t for one side.

Comment by Rich Miller Monday, Jan 24, 11 @ 11:10 pm
Also, pointing out possible holes in his story and timeline would be American as well.

Comment by Rich Miller Monday, Jan 24, 11 @ 11:12 pm
@Yellow Dog:

Your point would have more validity if this bill hadn’t been slid in during a lame duck session by outgoing lawmakers who are freed from the normal restraints of a representative democracy. Be honest: they weren’t running on this thing during the election season, or even whispering about it. It couldn’t pass during a normal session, or even during the veto session. So yes, this WAS sprung on us at the last minute by lawmakers who had already been replaced.

On top of that, part of a representative democracy is pushing back. You say it passed, so we have to deal. That part of your point is Very True. That doesn’t mean we have to be quiet about it. Part of dealing can be fighting back, no? In papers, in politics, in votes…don’t expect this to go away soon.

Comment by Liandro Monday, Jan 24, 11 @ 11:18 pm
Oh, I understand Rich…people are free to boycott, and I’m free to point out taking your business to, say, Subway (which is based in Connecticut) is probably counter-productive if we’re trying to defend IL. At least the guy going to Potbelly’s (based in CHI?) isn’t completely destroying his self-gratification quest.

No, I’m not denying the right to say (or spend) whatever they like, and it wouldn’t really matter if I did, cuz it’s their wallet. I’m just presenting the business side of the argument.

Also, you’ll note that I described JJ’s rheteric as “bluster”…whether he moves or not the man’s clearly ranting. As I have quite a few times since that bill passed, heh.

Comment by Liandro Monday, Jan 24, 11 @ 11:28 pm
Having lived in Florida, it’s not all it’s cracked up to be. Yeah, you save a little on the income tax (since there’s not one), but the state government (and most local government) there is about as ineffective as Illinois. His timeline is fair game but fundamentally we shouldn’t criticize the guy because he has has been successful enough to afford Florida full time if that’s what he wants to do.

Comment by dznuts Monday, Jan 24, 11 @ 11:28 pm
A bitter irony about this oligarch’s gated community in the Keys is that you can bet your sweet *#$ that they would be holding their hands out for help from uncle sam (you, the taxpayer) should they be hit hard by a hurricane.

And for them to claim on their website that they are keeping the environment as pristine as they found it is just ridiculous, but in keeping with their value system.

Comment by vole Tuesday, Jan 25, 11 @ 7:08 am
The News-Gazette published Jimmy John’s own version on front page above the fold. Will they publish the new information at all, and if so, will they bury it?

Here is my prediction: They will do an editorial attacking anybody who questions Jimmy John. Sigh…….

Comment by jake Tuesday, Jan 25, 11 @ 8:17 am