After nearly a 10-year absence, Fazoli’s is ready for a comeback in the state of Utah.
The Italian quick-service concept hasn’t been in the Beehive State since 2016, but an agreement signed in October is set to change that. Valor Acquisitions Group, helmed by Rudy Chavez, will develop five locations across the state over the next five years, with the first scheduled to open in 2025 in Saratoga Springs, just south of Salt Lake City.
Fazoli’s franchisee Rudy Chavez
Fazoli’s marks the second restaurant concept for Chavez, who’s also a Smashburger franchisee. The U.S. Army veteran has a third business, shooting range and firearm store R&R Tactical, which he launched after starting his professional career in healthcare.
He decided to branch out into the restaurant space because of his good experiences in the industry when he was younger, and chose to expand his portfolio with Fazoli’s for a few reasons.
“There were a lot of things that stood out,” Chavez said. “Fazoli’s had previously been here in Utah and was well known… I also like that they took a favorite style of food and turned it into a fast food option. There is nothing in the space that compares to it. I really like that they took a classic food and turned it into quick-service dining.”
Since inking the deal, Chavez said he’s been impressed with the operational capabilities offered by Fazoli’s and added he is still learning new elements of the concept that have reinforced his decision. With his interest in the brand solidified, Chavez said he’s open to expanding beyond five locations.
“I felt five was something doable,” Chavez said. “It gives us a great start over the next five years to be able to learn, grow, research and find the best locations. And maybe when those five are built, we will look at others. Right now, we’re planning to open one location each year over the next five.”
Chavez’s development will add to the more than 200 Fazoli’s restaurants across 26 states. The company is one of 18 in the FAT Brands portfolio, which also includes Fatburger, Round Table Pizza and Marble Slab Creamery.
Taylor Wiederhorn, FAT Brands chief development officer, said the company is confident reentering Utah, as it has other concepts established in the state.
“Hot Dog on a Stick is there and we recently did a deal to add 12 Fatburger and Round Table Pizza co-branded locations there as well,” Wiederhorn said. “So, we already have a base for our portfolio in the market.”
FAT Brands Chief Development Officer Taylor Wiederhorn
Along with its existing ventures into the market, Wiederhorn said the marketing team will leverage the history of Fazoli’s in the state to get people in the doors fast once the first unit is open.
“Some of our messaging we’ll have around their launch will be a reintroduction as we go back to Utah,” Wiederhorn said. “We want to let the customers who remember us know we’re back, while also getting in front of new customers.”
Chavez’s history in developing and operating other businesses has brand leadership believing new customers will visit.
“Rudy’s background with real estate and construction is very important in the restaurant industry,” Wiederhorn said. “You need to have that to get a return on investment. Also, the fact that he’s a Smashburger franchisee is a huge help. It’s not his first time getting into the restaurant space.”
The initial investment to open a Fazoli’s is between $1.5 million and $2.3 million. Average net revenue for franchise restaurants in 2023 was $1.4 million. As a system, total sales were down 1.1 percent last year, to $287.7 million, according to Franchise Times Top 400 data.