Mezza Expansion Goes Strong, Thanks to REIT Relationship
HALIFAX – Mezza Lebanese Kitchen’s Atlantic expansion plan for 20 locations open by 2023 continues to press forward, built on a solid working relationship with a major Nova Scotia-based landlord.
Mezza Business Development and Franchising VP Peter Nahas said that while the relationship between the fast-casual Lebanese food chain and Crombie REIT is informal, the New Glasgow-based real estate investment trust is a preferred landlord – and that’s because he and his co-owner and brother Tony Nahas are picky about where they open restaurants.
“We’re pretty specific on where we want to be, so that makes things a little bit more challenging for us. But we do have this recipe now, this relationship with Crombie we know that it works and it’s something we want to keep doing,” said Nahas.
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“We’re not looking to put our brand in a back-alley corner where nobody can see it, and none of the properties that are with Crombie are like that at all. They are high-traffic, high-volume locations and that certainly fits with our model.”
Nahas told Huddle Crombie is great to work with and is the landlord for numerous Mezza locations across the region.
“We’ve done tons of deals together. We have a great relationship with managers and construction guys. It works in that sense,” said Nahas.
“There’s nothing guaranteed in a sense that we’re saying, ‘Okay, we’re going to do a five-year thing, guaranteed,’ with Crombie.”
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Crombie REIT is publicly traded on the Toronto Stock Exchange, and has a portfolio of nearly 300 mixed-use and office properties across Canada, including numerous large commercial properties of which Sobeys is the main anchor tenant.
Nahas said that Mezza has faced some delays, noting that the original plan was to open 20 restaurants in Atlantic Canada by 2020 – a goal set in 2015.
“After what transpired in the last two years, we are absolutely where we want to be,” said Nahas.
RELATED: Mezza Continues Maritime Expansion With New Fredericton Location
Nahas said the relationship with Crombie that Mezza has is integral to plans, going forward, to open one restaurant per month, next year.
“Having that relationship with Crombie, allows us to see what they’re doing in Fredericton or Oromocto, and that allows us, absolutely, to expedite, because they know what we’re looking for,” said Nahas.
Nahas noted that the chain’s relationship with Crombie has led to stronger relationships with franchise partners.
“We now have partners who are multi-unit owners, and they’re growing their portfolios, from one or two restaurants to four and five,” he said.
“It says volumes of the Mezza brand itself when you have Franchisees looking to have multiple units.”
At the time of writing, Mezza has 14 locations across the Maritimes, and is in the process of opening four more, with another five opening next year. Nahas’ goal is to open 12 locations in 2023.
The next Mezza location to open will be its Fredericton franchise, which Nahas said will open next week.
“The team is there now and they’re doing the grand opening training with the Fredericton team,” he said.
Nahas said he’s willing to wait until the right opportunity emerges in a potential market.
“We are more focused on opening the right location, rather than just any location – it’s always been that way. For some markets, we’ve waited five, six years. If it takes us to 2024 to fill the right location in Saint John because today, it doesn’t exist, so be it,” he said.
Lunch Menu
In addition to the new openings, Nahas said the chain is about to unveil a new lunch menu in the next few weeks.
While Nahas wasn’t heavy on details, he noted some of the new items include loaded donair Greek fries and a dish called the Falafel Supreme.
“There’s going to be something for the shawarma lover, there’s going to be something for the vegetarian food lover – it’ll be a balance, with a little bit of something for everyone,” he said.
“We hope to have this in stores this month, so we are finalizing a couple small details and it’ll be hopefully all out for the public this month.”
Sam Macdonald is a Huddle reporter in Moncton. Send him your feedback and story ideas: [email protected].