Archive report originally based on restaurant chain activity tracked from October 1, 2005 through January 31, 2006.
This restaurantchains.net archive report looks back at documented restaurant chain growth, contraction, and market activity during a four-month period from late 2005 into early 2006. The data reflects unit-count changes, state expansion, franchise activity, and selected operator-level developments observed during that period.
The report includes both growing restaurant concepts and operators that reduced their footprint, offering a useful historical snapshot of how selected chains and franchise groups were moving at the time.
Eight Restaurant Chain Growth and Activity Highlights
1. Stevi B’s Pizza expands into Ohio and South Carolina
Kennesaw, Georgia-based Stevi B’s Pizza expanded into Ohio and South Carolina during the period. The chain had previously been operating in Alabama, Florida, Georgia, and Pennsylvania.
Stevi B’s opened five franchise units over the four-month period, increasing its location count from 15 to 20 units. That represented a 33% increase during the period.
The restaurants offered buffet service, generally with 150 to 200 seats. Check averages were reported in the $4 to $10 range, with pizza as the core menu focus.
2. Nestle Toll House Cafe by Chip grows into Utah and New Jersey
Richardson, Texas-based Nestle Toll House Cafe by Chip continued to grow steadily during the period, expanding into Utah and New Jersey.
With those additions, the concept reached 24 states. The company opened four franchise locations during the period, bringing its total location count to 63 units.
Estimated sales were reported in the $20 million to $30 million range.
3. Colomex sells Pizza Hut locations and narrows its operating base
Colorado Springs, Colorado-based Colomex, a franchisee operating Taco Bell restaurants in Colorado, reduced its overall restaurant count during the period.
The company sold the 29 Pizza Hut locations it had previously operated. After the sale, Colomex operated 27 Taco Bell restaurants, reducing its total location count from 56 to 29 units.
This was a notable example of a franchise operator narrowing its portfolio and concentrating on a smaller operating base.
4. Tony Roma’s reduces its U.S. footprint
Dallas, Texas-based Tony Roma’s Ribs, Seafood and Steaks closed eight U.S. locations during the period, bringing its U.S. location count down to 102 units.
As of this archive period, the company no longer operated restaurants in Colorado, Michigan, Louisiana, Nebraska, Oregon, or Indiana.
Tony Roma’s also had 119 locations outside the United States, bringing the company’s worldwide total to 221 locations. Stores averaged approximately 200 seats, with check averages generally between $10 and $30 for lunch and dinner.
5. Bajio Grill posts strong unit growth
American Fork, Utah-based Bajio Grill appeared on the emerging concepts and fast growers list during the period.
The family-style Mexican concept increased from 16 to 23 units, adding seven locations. That represented 44% growth over the four-month period.
Bajio Grill also expanded into Colorado and Nevada, continuing its southwestern expansion. The chain had already been operating in Arizona, Idaho, Indiana, Oregon, Texas, and Utah.
Stores averaged approximately 2,000 square feet, with check averages reported between $6 and $12.
6. Wing Zone continues steady franchise growth
Atlanta, Georgia-based Wing Zone continued to show steady growth during the period.
The take-out and delivery chicken chain increased by three units during the four-month period. That brought the company’s 2005 total increase to 14 new locations.
Wing Zone also opened stores in Maryland and Ohio. The all-American menu concept operated as a franchised chain, with check averages generally between $3 and $8.
7. Barnacles Seafood, Oyster & Sports grows by 40%
Duluth, Georgia-based Barnacles Seafood, Oyster & Sports achieved 40% growth during the period.
The family-style seafood concept increased from five to seven units, adding two locations during the four-month period. That brought its 2005 total increase to three units.
The lunch and dinner concept offered full bar service and averaged approximately 6,000 square feet. All units were company owned.
8. Growth outpaces contraction in 30-day restaurant chain analysis
A special 30-day analysis covering January 1, 2006 through January 31, 2006 compared restaurant chain companies that increased units against those that decreased units.
Using a surveyed universe of 208 operators, the analysis found that 132 companies had grown units, while 76 companies had closed units.
That meant 63% of surveyed operators increased units, compared with 37% that decreased units during the period. For this archive window, growth activity clearly outpaced contraction.
Current Restaurant Data Resources
For current restaurant company records, contacts, locations, and ownership linkages, visit restaurantdata.com.
For current and upcoming restaurant opening activity, visit restaurantpipeline.com.
Historical Context
This archive report reflects restaurant chain activity as it was observed during the October 2005 through January 2006 period. Some company names, ownership structures, operating footprints, and brand statuses may have changed significantly since the original report was produced.
For historical restaurant industry research, these archive reports help show how emerging concepts, franchise operators, and established chains were expanding, consolidating, or exiting markets at specific points in time.
