Peggy Ann Bakery coming to West Walnut Street

Zach Vance • Apr 27, 2019 at 7:00 PM

A family-owned bakery in Greeneville will soon create its goodies at second location — in Johnson City.

Peggy Ann Bakery is expected to open later this summer in the former Alley Kat and Slammin’ Sammy’s building at 803 W. Walnut St.

Founded in 1982 by Peggy Ann and Bill Arrowood, the bakery has become a family legacy, with the third generation now leading the expansion to Johnson City.

When it came time to pass the torch, John Arrowood and his wife Imogene continued operating the Greeneville bakery, and now John’s daughter Stacy and her husband Will Martin are planning the expansion.

“My in-laws are excited,” Will Martin said. “They’ve always been so busy. They built the brand. They built the business, but they’ve never had time to really look at expansion. They laid the groundwork for us, so they’re excited to see it.”

While renovation work will begin soon, once completed, Martin said the outside of the former sandwich shop will be unrecognizable.

“We’ll do a full facelift on the front. It will have the porch, and keep its nostalgia and retro feel to it,” Martin said.

“As far as the dining room goes, we’ll definitely have some renovations to the dining room. We’re not doing a ton to the kitchen, but obviously bringing it up to code and that kind of stuff.”

Just looking at Peggy Ann Bakery’s Facebook page or website will make your mouth water. Using family recipes, the business churns out dozens of different doughnuts, pastries, cakes and cookies. Martin said the Johnson City location will also serve coffee.

Peggy Ann Bakery’s roots can be traced back to 1949 when Peggy and Bill met each other while working at Variety Bakery in Elizabethton, John Arrowood said.

By 1953, the couple moved to Kingsport and worked at another bakery before finally moving to Greeneville in 1957 to run the Super Dollar bakery.

John said when Super Dollar merged with Food City, his father was bought out, and instead of retiring, Bill and Peggy Ann decided to open Peggy Ann Bakery.

At 85 years old, Peggy Ann will see the business she founded expand its operations to a new city, but Bill died in 1988.

“He would be very proud of us,” John said of his father.

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