In a move that will better position
both companies for expansion, two metro-Detroit based fast
food franchises have joined forces. Papa Romano's Pizza,
headquartered in Commerce Township, Michigan, has merged its
operations with Mr. Pita restaurants, a 35-unit Sterling
Heights, Michigan-based chain.
Casey Askar, chairman and CEO of Papa
Romano's, has assumed the role of chairman and CEO of Mr.
Pita. Frank Lombardo, president and founder of Mr. Pita, has
been named president of Papa Romano's while continuing to
serve as president of Mr. Pita, overseeing day-to-day
operations of both chains.
A veteran of the pizza industry, Askar
quietly purchased the 50-plus store Papa Romano's chain from
former owner and founder Ronald Hancock in February. Since
acquiring the chain, he has renovated and updated the
stores, opened three new locations, including a new
prototype in Ann Arbor and purchased seven formerly
franchised Papa Romano's locations that now operate as
company-owned stores. He also relocated the company's
corporate headquarters from Farmington Hills, Michigan to
Commerce Township.
"The partnership with Mr. Pita was a
logical next step for us," Askar says. "We believe it
presents tremendous opportunity for both brands going
forward and postures us for national expansion," Askar says.
"We're excited and very optimistic about the potential."
Adds Lombardo, "Mr. Pita had long been
contemplating a partnership and has found in Papa Romano's a
partner that provides just the right fit. We are two strong,
locally-originated businesses, and we expect to build on
each other's strengths, as well as benefit from cost savings
and economies of scale that come from combining our
purchasing, advertising, corporate staffing, and other
internal operations."
Lombardo also notes that the
partnership offered ample opportunity for co-branded venues.
"Mr. Pita is a highly co-brandable chain that works well
with other brands. We anticipate aggressive expansion of the
Mr. Pita and Papa Romano's brands, both individually and in
co-branded format," Lombardo says. "As a co-brand, our
concept offers a rare opportunity for franchisees to be able
to combine two complementary brands under one roof with the
benefit of shared overhead. That's very unusual in this
marketplace."
Papa Romano's Pizza has 53 restaurants
throughout southern and central Michigan, caters parties of
10 or more and offers a full menu of traditional and
specialty pizzas, breads, salads, chicken, subs, pasta and
more. Mr. Pita's 35 Michigan locations serve more than 45
varieties of hot and cold rolled pita sandwiches, Oven Baked
Pitas, Pita Pizzas, and Pita Quesadillas, on fresh pita
bread.