Schlotzsky's Franchise LLC has struck a 170-unit development deal for parts of Southern California, the company said Tuesday.
Schlotzsky's said the deal with Moe Vazin was the company’s largest franchise agreement in 40 years. The five-year deal will add restaurants in Los Angeles, Riverside, San Bernardino and Ventura counties to the 350-unit sandwich chain.
Under the agreement, the new restaurants will feature the brand’s new design and service model, where servers deliver food to the table after guests order at the counter. It is also part of a co-branding deal with Cinnabon and Carvel, which, like Schlotzsky’s, are owned by Atlanta-based Focus Brands Inc.
"The magnitude of this franchise agreement is a testament to the growing strength of our brand in the marketplace,” Kelly Roddy, president of Austin, Texas-based Schlotzsky's, said in a statement.
Vazin, who has invested in supermarkets, manufacturing and distribution companies in the retail industry, said in a statement: “We had many reasons for choosing Schlotzsky's, but the key factors were its high-quality, fresh sandwiches, pizzas, salads and soups; the fact that we can offer Cinnabon and Carvel under the same roof; and an incredible management team.”
Last May, Schlotzsky's signed a multi-unit franchise agreement with regional developers John Fehmer and Anastasia Rusakov to open 25 new Schlotzsky's locations in Orange County, Calif.
Schlotzsky's has units in the United States, China, Jordan, Kuwait, Saudi Arabia, South Africa and.
Focus Brands also owns and franchises the Moe’s Southwest Grill and Auntie Anne’s brands, and operates Seattle’s Best Coffee units on some military bases.