Qdoba expands growth pipeline with 33 new locations, surpassing 500-unit milestone

USA – Leading restaurant chain Qdoba has secured commitments for at least 33 new locations, expanding its development pipeline to over 500 units nationwide, the company announced on March 13.

Qdoba is expanding its footprint with a focus on both traditional and non-traditional locations, including airports, universities, and military bases.

With 800 units already open, new development commitments are bringing the chain closer to its target of 1,500 restaurants by 2033.

Unlike its biggest competitor, Chipotle, which operates on a company-owned model, Qdoba benefits from its franchising approach.

This strategy allows operators to invest in the growing Mexican fast-casual segment while sharing the costs of expansion.

To accelerate growth, Qdoba has aggressively pursued multi-unit franchise agreements. Earlier this year, the company signed 10 franchise deals covering 77 stores.

In July, it introduced a US$100,000 cash incentive for franchisees who open new locations by September 2026.

This incentive applies to both existing franchisees expanding their portfolios and new franchisees committing to multiple units.

With restaurant buildout times averaging 12 to 15 months, Qdoba aims to reach 100 net openings per year in the coming years.

In addition to new openings, the company has focused on remodeling its company-owned locations. Qdoba is testing innovative store formats and recently debuted its first freestanding locations in Arizona.

These new locations feature an open grill, two production lines to handle higher demand, and a more compact design of around 2,000 square feet, smaller than the 2,500-square-foot average of its legacy stores.

The brand continues to seek multi-unit franchisees willing to develop in key markets such as Atlanta, Orlando, Tampa, and Nashville.

It is also expanding into non-traditional spaces, exemplified by the opening of a new location in Terminal A of Syracuse Hancock International Airport in New York.

Additional locations are planned at Colorado State University-Pueblo and Rutgers University, further strengthening its presence in high-traffic areas.

Beyond expansion, Qdoba has demonstrated strong financial performance. Comparable sales increased by 7.7% last year and 6.1% in 2023, signaling continued consumer demand for its offerings.

As the chain executes its growth strategy, it remains focused on franchise-driven expansion, store innovation, and market penetration to meet its ambitious long-term goals.

Sign up HERE to receive our email newsletters with the latest news and insights from Africa and around the world, and follow us on our WhatsApp channel for updates.