Crafthouse Plans Swift Expansion With ADP
The Crafthouse restaurant in Fairfax, Virginia.
Virginia-based Crafthouse will aim to expand its brand nationwide through an ambitious $250 million franchise development deal with American Development Partners.
The young restaurant chain announced a deal that will have American Development Partners planning the construction and development of more than 100 Crafthouse franchise units over the next five years, along with providing qualified franchisees with 100 percent financing. It's a major undertaking for a Crafthouse brand that has just three units of its craft beer-focused concept open in Fairfax, Arlington and Reston, and it's entering an increasingly crowded field that already includes the likes of Growler USA, Brass Tap and the non-franchised Yard House.
Crafthouse founder and CEO Evan Matz opened the first three restaurants in 2017, serving 50 craft beers on tap, more than 45 different bourbons, scotches and whiskeys, and a food menu of tacos, burgers and a signature Bavarian pretzel with beer cheese.
Based in Tennessee, ADP is a private equity and real estate development company that provides funding and space for multi-unit operators; it’s worked with upstart brands such as Dog Haus, along with the likes of Wendy’s and Dunkin’.
“Crafthouse’s ability to make each restaurant unique to its community while also featuring a core menu of signature favorites is impressive, and Evan is a seasoned, successful operator with an inspired vision for the brand,” said Caleb McMillen, COO of American Development Partners, in an announcement of the deal. “From our first conversation with him, we immediately began creating a five-year plan for Crafthouse’s development. The decision to get behind such an amazing individual and business was an easy one for us.”
Locations will range in size from 3,900 to 4,500 square feet with dining room and patio seating for approximately 150 guests. Franchisees should have at least $300,000 in liquid assets and a net worth over $1 million, to go along with a background in business ownership, the company said. Initial target markets include Virginia, North Carolina, Michigan and Maryland.