Actual OP here... person posting up there wasn't me.
Back to give an update about what happened/went down.
We met up for lunch. Upon seeing me tried to kiss me and I dodged and gave him my cheek. He then tells me it turns out that since he got laid off, he applied for jobs and recently found out he did manage to get another job in the area... so he can probably still be around here.
We made small talk over lunch and caught up on things. He said he was going to ask me if I wanted to watch a movie but I had just said that I had some things to do in the evening... so then after he asked if we could drop by his car really quick and it turned out he had gotten me a small birthday present. He then said that he knows we had decided to take a break but if I had figured things out and if we wanted to get back together.
This part was really tough for me, especially because he is such a nice guy. But I know that if I had said yes, I would have been back at the same place as before... nice guy but just not for me (for a number of reasons). After this, it was really tough... he looked like he was about to cry when I said that I still don't think I'm ready for this. He asked if there was anything he could have done differently and I just tried to stick to what I said before, just that I don't think I'm ready for this right now, etc. because I felt there was no need to give reasons that would only make him feel bad/would be too critical.
We hugged and that was that. I thanked him for the lunch and the present and that I appreciated it and then walked off. I feel very bad about it but at the same time know that it was the right decision.
Well there you have it Letsrun. Typed this up for you because I did appreciate some of the advice on here, so thanks.