Five stores in five years.
That was Richard Sterck’s goal when he opened The Paper Bag Deli in Gainesville in February 2022.
The locally owned deli is expanding outside Gainesville for the first time, achieving its five-store goal. Sterck's new store, The Paper Cup, featuring the chain’s first drive-thru and coffee bar, is scheduled to open in Waldo by mid-July.
Its most recent location opened in Magnolia Park in January 2026.
Sterck said he’s excited about the new location.
“I really love the hometown feel,” he said.
The Paper Cup will sit just off U.S. 301 in Waldo, setting up shop in what used to be a Hardee’s.
Waldo is a 2-mile-long city with a population of over 800, according to the 2020 census. Without its own fire department or police station, the town is predominantly a small drive-through town, collecting traffic as travelers move among Ocala, Gainesville and Jacksonville.
Despite the location’s small population, Sterck expects this to be his busiest store. The Paper Cup will feature the chain’s first drive-thru, which he believes will help drive business.
“The drive-thru is something I’m really excited about,” Sterck said. “From Ocala to Jacksonville, there's a lot of people that work and drive both ways.”
The new location won’t look or operate quite like the others. Unlike the Gainesville shops, which are branded as The Paper Bag and built around sandwiches, the Waldo store will carry the name The Paper Cup to reflect its focus on coffee.
The Paper Cup will have a barista-style coffee bar, Sterck said.
The store will carry classics like espresso, drip coffee, frappes and eventually nitro cold brew. The menu will still include sandwiches, breakfast items, salads, wraps and house-made pastries.
“Every location has our signature menu with a little bit of a tweak or change,” said Sterck. “For Waldo, I'm thinking we're going to do a smokehouse special with a barbecue pit.”
The expansion of The Paper Bag is no surprise to Jill Kubisek, the manager of the downtown location. Her store welcomes a large number of regulars whose orders she’s memorized.
“People freaking love The Paper Bag,” Kubisek said. “People are obsessed with it.”
Sterck talks about the impact of expanding in layers: customers who leave happier than they arrived, employees who find opportunity and stability and charitable efforts that reach beyond the walls of his restaurants.
“It’s been a pleasure working for him,” Kubisek said. “He cares a lot about his crew.”
That’s the second layer for Sterck. He said he wants to give his employees a vehicle to express their creative sides and help them grow professionally. Each location features a hand-painted mural — including the newest location.
Jules Bush, a 22-year-old UF computer science senior, spent nine hours painting the 20-foot mural seen on the side of the Paper Cup building.
Sterck always makes sure she is fully stocked for the project and buys all the supplies, she said. Bush has worked with Sterck for the past five years, during which she has completed paintings at every Paper Bag location except the one in downtown Gainesville.
“He’s always been so understanding with employees,” Bush said.
As Sterck’s business continues to grow, he wants to continue giving back to Gainesville. He already donates part of the franchise’s profits to cancer research and the Ronald McDonald House Charities of North Central Florida.
“Gainesville is where we started,” Sterck said. “They took us in like we were a true Gator.”
Five stores in five years was the first milestone. With the coffee drive-thru in Waldo on the horizon, Sterck has his sights set on the next milestone: 500 stores nationwide.
Jack Jankowski is a contributing writer for The Alligator.
