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Togo's expanding Oregon presence in mission to hit 400 units by 2015

October 17, 2012

Togo’s, a fast casual chain serving made-to-order sandwiches, is aggressively targeting Oregon for expansion, Tony Gioia, chairman and CEO of Togo’s Holdings, said in a company press release. The chain, which opened on the West Coast in 1971, aims to open 25-30 restaurants throughout Oregon in cities, including Portland, Eugene, Hillsboro, Bend, Medford, Salem, Klamath Falls, as well as Vancouver, Wash., over the next several years. These openings fit into Gioia’s overall plan of reaching 400 restaurants by 2015.

“Franchisees are the backbone of Togo’s future growth. It’s because of our successful business partners — and the Togo’s guests that love our great food — that we can aim for such aggressive expansion in the region,” Gioia said. “We’re celebrating eight consecutive quarters of same store sales increases, leading to a growing interest from new franchisees to join the Togo’s family, as well as a desire from existing franchisees in opening third or even fourth locations.” The new development strategy comes on the heels of strong growth for Togo’s through the third quarter of 2012.

Togo’s currently has five restaurants in Oregon and has already signed deals for three new restaurants scheduled to open in Oregon this year, including a second location in Bend on Oct. 22, and two locations in Eugene, scheduled to open Nov. 16 and Dec. 7. Five additional openings are planned for 2013 in Medford, Eugene, Bend and Hillsboro — with many more in the pipeline. Gioia said the chain is actively recruiting passionate single and multi-unit operators in Portland, which Forbes recently named one of the top 10 metros for eating out.

Togo’s recently formed a $15-million fund to fuel its development in 2012 and beyond. With this funding, both new and existing qualified Togo’s franchisees will have access to $5 million to build new restaurants and $10 million for transfers, Gioia said  At Togo’s, 51 percent of its traditional restaurants operating for a full 12-months in 2010 experienced average unit sales in excess of $600,000, with 25 percent over $800,000.

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