Saxton Group, a McAlister franchisee, plans to launch a fast-casual model in Texas and Oklahoma.
Texas Roadhouse Inc. said Monday that it has inked its first franchise development agreement for the fast-casual Jaggers brand with The Saxton Group, a significant McAlister’s Deli franchisee.
Dallas-based Saxton Group has contracted to create ten Jaggers units in east and central Texas, while TuJaggers, located in Louisville, Ky., has three company-owned restaurants operational in Greenwood, Ind., Noblesville, Ind., and Louisville. A fourth company-owned site in the Indianapolis region is set to debut this autumn.
The menu at Jaggers includes burgers, chicken tenders, salads, and unique shakes.
The first franchise deal was inked on September 15, according to Adam Saxton, co-CEO of The Saxton Group, and the first Jaggers site will open in 2022. Restaurants are typically 3,000 square feet in size and include a drive-thru.
Since 1999, the Saxton Group has franchised the McAlister’s Deli concept and has 85 locations in six states, including Kansas, Oklahoma, and Texas.
“What’s fascinating to me about Jaggers is it’s like you took fast-best service’s hits — chicken, cheeseburgers, shakes, fantastic salads, French fries, tater tots —and increased the food quality,” Saxton added, adding that the brand was quick and efficient. The average per-person check is roughly $10.
“All of the real estate will have drive-thru capacity,” Saxton said, adding that the group’s first Jaggers site has yet to be determined but would most likely be in a legacy market in Texas.
While Texas Roadhouse’s domestic locations remain company-owned, the concept has been franchised internationally. Hugh Carroll, Texas Roadhouse’s head of worldwide development, is in charge of Jaggers’ domestic franchising.
According to Saxton, The Saxton Group is now building four McAlister’s Delis and plans to develop Jaggers alongside its present assets. Being an early franchisee of the three-unit brand, he says, is a leap of faith.
“Because of how little they were, we never pursued any brand at that size,” Saxton said. “A lot of businesses that start franchising in their infancy are not equipped to deliver the degree of care and support to franchisees that sophisticated major multi-unit operators require.
“However, Jaggers was created by Texas Roadhouse and has a tremendous level of operating system expertise,” he explained. “It’s built into the business based on the experience and resources of the Texas Roadhouse crew.”
Jerry Morgan, CEO and president of Texas Roadhouse, said in a statement that the firm was happy with Jaggers’ first franchisee’s track record. “We are thrilled to be working with The Saxton Group, which has extensive industry expertise and 35 years of hands-on, operational experience,” Morgan said in a statement.
Texas Roadhouse had more than 640 restaurants in 49 states and 10 foreign countries as of the conclusion of the second quarter on June 29. It also owns the casual-dining sports bar franchise Bubba’s 33.