Mike’s Red Tacos Announces Plan for 200 New Locations

- The expansion is primarily a franchise-based initiative, with multi-unit development agreements already signed in states including California, Texas, Arizona, Nevada, and Illinois. The initial investment for a single franchise ranges from approximately $640,000 to nearly $2 million. - The leadership team behind the expansion includes industry veterans with a track record of scaling popular food concepts. This includes President Vincent Montanelli, who previously spent nearly 20 years in leadership at Wetzel's Pretzels, and early-stage investors Bill Phelps and Andrew Feghali, who were instrumental in the rapid growth of Dave's Hot Chicken. - The first franchised locations are expected to open by the end of 2026. In the meantime, the company is opening a corporate-run restaurant in Pasadena, California, this spring, which will also function as a brand training center and a prototype for future stores. - The brand's rapid growth is capitalizing on the rising popularity of birria, a style of slow-cooked meat. Data suggests that birria is projected to appear on over 5% of U.S. menus by 2028, a significant increase from just 0.5% in 2020. - Mike's Red Tacos was founded by Mike Touma as a food truck in San Diego in 2021. The brand quickly gained a following for its birria-centric menu, which includes tacos, quesadillas, burritos, and birria ramen. - Prior to this major expansion, the company had two operating brick-and-mortar locations in San Diego, with a third set to open in March. The brand has already received national recognition, having been named one of Yelp's Top 100 U.S. Restaurants in 2023. - The franchisees joining the expansion have experience with other major brands like Dave's Hot Chicken, Jersey Mike's, Blaze Pizza, and Dunkin'. The initial growth strategy will target markets such as Southern California, Seattle, Phoenix, Las Vegas, Austin, Dallas, Chicago, Miami, and Boston.