Will the U.P. gain more national chain restaurants?
Posted: 08.11.2011 at 9:45 PM
Updated: 08.12.2011 at 4:25 AM

New franchises require willing owner, qualified location

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ESCANABA -- At this point, the restaurant business in general isn't doing so well. According to a report released in the Los Angles Times this week, nationwide there are about 9,000 fewer restaurants in the U.S. than there were last year.

Most of those that closed were actually independent restaurants, but experts say those numbers in general suggest that right now we're not likely to see many more chain restaurants in the area.

Chris Cooper owns four Arby's restaurants in the U.P. and is poised to break ground on a fifth location in Marquette next week.

He's been a restaurant man for a while, but hasn't always worked with a franchise.

"The brand helps with a lot of tourism, a lot of people coming from outside the area and coming to visit," says Cooper. "They know what they're going to get here."

In order for us to see more chain restaurants in the area, people like Cooper are necessary. People who are willing to own and invest in starting a location. However, first a franchise will determine if willing individuals are financially qualified - the costs can be eye-opening for many.

"A lot of people come and look into it, thinking a restaurant is what they want to do, but mostly in the end, they're going to find out that it's expensive," says Bill Wittenbach, franchise consultant and broker for about 300 franchises for the U.P. area.

If they do meet the financial qualifications, franchises evaluate the area's demographic to decide if a location could be successful. They look at things like people per square mile, exposure to traffic, income and accessibility. According to Wittenbach, that limits the amount of areas franchises are interested in the U.P.

"I don't see too many big restaurants coming, you might see some more of the smaller quick-serve type places that would open up, but as far as big restaurants, Iron Mountain probably not. Marquette and Escanaba have a better chance," says Wittenbach.

Wittenbach added that Houghton is also a viable area due to the Michigan Tech college campus.

If businesses do decide to invest in the area, some are worried about how that could affect our local economy.

Facebook viewer Debbie Malta wrote "I think chain restaurants would be great, however I look to support the independent business owners."

Some say, as long as the amount of restaurants doesn't get too high, chains can help the local economy.

"If anything, it'll help, now we'll have 45 more people out there working part-time to full-time that have money to be spending," says Cooper.

As far as areas to expect expansion in the future, Cooper says he expects businesses to focus on the west side of Marquette. As a franchise owner, he says he looks for locations in which the business would be successful in the long-term, and have bigger anchor retail stores to help bring people to the area.