Full Breakdown
El Pollo Loco Targets New York City as Part of Nationwide Expansion
By Drooid · · How we work
Expansion Announcement
El Pollo Loco disclosed plans to open its first New York City restaurant in Queens in mid-2027. The chain has secured three development agreements that will bring a total of 15 new locations to the New York metropolitan area over the next five years. This marks the brand’s initial foray onto the East Coast after decades of concentration in the Southwest and California.
Growth Strategy and Historical Footprint
Founded in Mexico in 1975, the chain opened its first U.S. outlet in Los Angeles and now operates more than 500 restaurants across ten states. Under CEO Liz Williams, who assumed the role in March 2024, the company has pursued a turnaround that includes modernizing existing sites and expanding the menu with wraps and chicken tenders. Williams noted that the 50-year-old brand enjoys lingering consumer curiosity but faces a significant branding challenge in new markets. Since her tenure began, the chain has grown from six to ten states, opened nine restaurants in the prior year, and projects 18–20 additional openings by the end of 2026.
Market Position and Competitive Landscape
Barclays reported that El Pollo Loco ranked as the eighth-largest chicken chain in the United States in 2024, holding a 2.1 % share of national chicken-restaurant sales. The brand differentiates itself by emphasizing bone-in grilled chicken and Mexican-inspired flavors, positioning itself against fast-food giants such as McDonald’s and Taco Bell, which have broadened their chicken offerings, as well as newer entrants like Dave’s Hot Chicken, Zaxby’s, and Raising Cane’s.
Leadership Changes and Official Comments
In a recent regulatory filing, the company announced the appointment of Damon Thomas as chief operating officer, coming from Shake Shack, and Tara Hinkle as chief development officer, with prior experience at The Coffee Bean & Tea Leaf, Taco Bell, and Starbucks. Williams emphasized that consumers are increasingly seeking healthier daily options, highlighting grilled chicken as a preferable alternative to fried varieties. She also reported that the current quarter showed expanded margins and a healthy overall business model.
Outlook
El Pollo Loco’s expansion into New York is intended to broaden brand awareness while navigating a competitive chicken-category market and a broader industry environment marked by rising beef costs and cautious consumer spending. Shares of the company have risen 44 % over the past year, reflecting investor optimism about the chain’s growth trajectory.