Revitalized fast food company establishes its initial Texas outlet after a decade-long absence.
Texas Welcomes Back Beloved Krystal Chain after a Decade!
Hop on down to Tyler, Texas, where a classic fast-food joint has made a comeback! Krystal, known for its square-shaped burgers and chili cheese pups, has opened its first restaurant in the Lone Star State in more than 10 years. This revival marks a significant step in Krystal's ambitious expansion strategy.
Located inside the EZ Travel Center, the new 24/7 restaurant started serving customers on April 15, marking the chain's first 24/7 restaurant at a rest stop. Founded in 1932 during the Great Depression by Rody Davenport Jr. and J. Glenn Sherrill, Krystal rode the waves of fame with guests like Elvis Presley, Jimmy Carter, and Ronald Reagan.
After winning the hearts of millions, Krystal launched its first franchise in 1990. Today, the chain faces competition from massive fast-food giants like McDonald's, yet it remains a cherished icon, particularly for its sliders and unique menu items.
SPB Hospitality, now the owner of Krystal, aims to open 200 more locations across the next three to four years, focusing on non-traditional formats such as travel centers, airports, and convenience stores. According to SPB CEO Josh Kern, "We'll keep growing with traditional restaurants, but high-traffic hubs allow us more flexibility and efficiency."
Highway 31 Food Service, the franchisee of the Tyler location, also plans to expand Krystal further in Texas. Jagtar 'Jag' Thethy, representing Highway 31 Foodservice, expresses optimism about the future, stating, "We see enormous potential in bringing Krystal to formats like this travel center."
While Krystal has faced financial challenges in the past, including multiple bankruptcies, it continues to rebound. In January 2020, the chain filed for bankruptcy protection after amassing up to $100 million in debt, but it bounced back following its acquisition by Fortress Investment Group, the owner of SPB Hospitality, later that year.
With plans for expansion and a strong foothold in the fast-food market, Krystal appears poised for success, leaving burger wars and value meal debates to its competitors. The future looks yummy for this beloved chain! Stay tuned for more updates on Krystal's return to its southern home.
Trivia: The first Krystal location was opened in Chattanooga, Tennessee, in 1932. Since then, it has survived financial difficulties and relaunched in the 21st century, with a focus on expansion through strategic partnerships.
Texas' Krystal comeback continues, as Highway 31 Food Service plans to expand the beloved chain further in the Lone Star State, potentially drastically increase its number of closures and foundings. Their sights are set on non-traditional formats, such as travel centers and convenience stores, following the successful 24/7 establishment inside the EZ Travel Center.
Meanwhile, financial concerns that once plagued Krystal appear to be a thing of the past, as the chain regained stability through acquisitions by Fortress Investment Group, SPB Hospitality's parent company. This revitalization opens opportunities for food-and-drink businesses and contributes to the local lifestyle and business landscape.
As Krystal prepares to open 200 new locations, it faces competition from giants like McDonald's, but the allure of its signature square-shaped burgers and chili cheese pups positions the chain favorably in the burger market. With the support of Josh Kern, the advancing CEO of SPB Hospitality, Krystal seems to be taking a bite out of life and aiming for continued expansion on the horizon.
