Arby’s Restaurant Group, Inc., parent company of the franchisor of the Arby’s brand, announced that it has reached a new development agreement with franchisee, AR Chain of Restaurants, to open 25 new restaurants over the next six years with a focus on Pennsylvania and New York.
As part of the transaction, AR Chain purchased eight ARG-owned restaurants in Philadelphia, Wilkes Barre-Scranton and New York. AR Chain has agreed to remodel these eight restaurants by the end of 2018 to the Inspire restaurant design, featuring natural wood materials, stainless steel, modern lighting, and chalkboard graphics.
“As a significant operator and developer of many restaurants in multiple states, the principals of AR Chain are ideal franchisees for the Arby’s brand,” says Greg Vojnovic, chief development officer, Arby’s Restaurant Group, Inc. “They are experienced operators in markets where there is runway for growth. Further, they are committed to propelling the Arby’s brand forward and they have the ability to open impactful restaurants in key markets. We couldn’t be happier to welcome AR Chain into the Arby’s family.”
"This new development agreement underscores our confidence in the Arby's brand," says Sam Durrani, chief operating officer, ARCR. "Our company is rapidly growing and Arby’s is a great addition to our portfolio. We are very excited to work with a brand that has a long-term vision and strategy for success, with the track record of sales and transaction growth to back it up. We have had tremendous success in development of Quick Service Restaurants and look forward to building new Arby’s restaurants."
Named a Top 10 Franchise Deal of the Year by QSR Magazine in 2016, Arby’s system Average Unit Volume (AUV) has increased more than 25 percent in the last four years. In FY16, Arby’s achieved record-level systemwide sales with Same-Store-Sales growth of 3.8 percent—more than double the growth rate of the Quick Service Restaurant industry.