El Pollo Loco has its sights on the Big Apple, signing its first lease in Queens, New York, with a mid-2027 opening targeted, and three development agreements for 15 New York-area restaurants throughout the next five years.
The New York development will be led by one longtime El Pollo Loco franchise partner and two new franchise partners. The expansion marks an important milestone in El Pollo Loco’s goal to become a national brand. California-based El Pollo Loco has made several unsuccessful attempts at going national in the past, including in the 1980s and mid-2000s. In 2014, the chain entered a development deal to open 15 restaurants in the New York-Newark, New Jersey, markets, but those restaurants never opened.
El Pollo Loco’s 500-plus restaurants are now primarily concentrated in the Southwestern United States, but the brand recently opened in Idaho, marking its 10th state. New York will make number 11.
Earlier this year, CEO Liz Williams said she is optimistic the national push will stick this time around.
“This brand has had too many false starts when it came to the question of whether it can be a national brand. We think absolutely,” she said in January. “We’re ready to push across the country.”
She said in the past, El Pollo Loco didn’t have as much clarity on standards, systems, and training, which has been one of her priorities since coming on board about three years ago.
“We would open new restaurants in new locations, and we wouldn’t have the infrastructure that trained people the right way and standards that held the test of time,” she said. “People turn over and things fall apart. We have fixed that.”
The chain has also improved its economic model, with margins ticking above 19% in the second quarter, from 13.2% in 2022.
“New York represents an important milestone for El Pollo Loco and a clear proof point in our disciplined growth strategy,” Williams said this week in a statement. “We have strengthened our brand and operations, enhanced our business model, and assembled an experienced leadership team to support sustainable expansion. With committed franchise partners and our first New York lease secured, we are excited to introduce the East Coast to the fire-grilled flavor and hospitality that have defined El Pollo Loco for five decades.”
El Pollo Loco has brought on two executives to support its expansion plans, including Damon Thomas, who was named chief operating officer after most recently serving at Shake Shack.
The company has also named Tara Hinkle as chief development officer, bringing nearly 20 years of experience in franchising, development, and operational planning. She most recently served as president and Head of Americas for The Coffee Bean & Tea Leaf and previously held franchise strategy and business partnership leadership roles at Taco Bell and Starbucks.
“Entering New York is a meaningful step in building a thoughtful, scalable development pipeline for El Pollo Loco,” Hinkle said in a statement. “We are focused on choosing the right sites, selecting and supporting strong operators, and growing in a way that creates lasting value for our guests, franchisees and shareholders.”
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