What was changed
El Pollo Loco was founded in Mexico in 1975 and entered the U.S. through Los Angeles, but half a century on it remained a Southwestern chain — just six states when Liz Williams took over as CEO in March 2024. The timing looked hostile: consumers were dining out less to save money, and the chicken category was booming, with McDonald's and Taco Bell expanding chicken lineups and Dave's Hot Chicken, Zaxby's and Raising Cane's multiplying.
Williams' turnaround focused on modernizing restaurants and bending the menu toward convenience formats such as wraps and chicken tenders. The footprint grew from six states to ten, past 500 restaurants; nine opened in 2025 with 10 to 18 more projected by the end of 2026. In September 2026 the chain announced three development agreements for 15 New York-area restaurants over five years — its first Northeast entry, opening in Queens in mid-2027 and moving back westward from the East Coast.
The results showed before the announcement did: three straight quarters of same-store sales growth, expanded margins in the current quarter, and shares up 44% over a year against 15% for the S&P 500. Barclays ranked El Pollo Loco the eighth-largest U.S. chicken chain by 2024 sales with 2.1% share. The operations bench was rebuilt alongside, with Shake Shack veteran Damon Thomas joining as COO and Tara Hinkle as chief development officer.
What it achieved
Three straight quarters of same-store sales growth; shares up 44% in a year; footprint up from six states to ten; first New York store due mid-2027
Why it worked
Grilled, Mexican-inspired chicken differentiates the chain in a fried-chicken land grab and fits consumers 'wanting to eat a little better.'
Three quarters of comp growth and expanded margins proved the core business could carry a national expansion.
Development agreements commit partners to 15 New York-area stores over five years, building the new market store by store.
A 50-year-old brand already carries curiosity among consumers who have seen it over the years, but awareness still has to be built locally.
What can be applied
Fix the core before leaving home: a regional chain earns the right to go national by proving comp growth and healthier margins in its stronghold first.
Aftermath
The first Queens restaurant is due in mid-2027, the first of 15 New York-area locations under three development agreements, with expansion running East Coast first and then back toward the West. The company projects 10 to 18 new locations by the end of 2026 and has deepened leadership with COO Damon Thomas and chief development officer Tara Hinkle. The open question is traffic in a crowded chicken category with budget-conscious consumers — the same environment, Williams argues, that makes grilled chicken stand out.
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