SOUTHFIELD, Mich. (RestaurantNewsRelease.com) Diversified Restaurant Holdings, Inc. (OTCBB: DFRH) (“DRH” or the “Company”), a leading franchisee for Buffalo Wild Wings® (“BWW”) and the owner/operator of the unique, full-service, ultra-casual restaurant and bar Bagger Dave’s Legendary Burgers & Fries® (“Bagger Dave’s”), announced today that it has entered into a 10-year lease, with renewal options, for a 7,400 square-foot restaurant at 3750 US Highway 98, off Interstate 4 at exit 32 in Lakeland, Florida. The restaurant is expected to open in February 2011 and will be the Company’s 21st Buffalo Wild Wings restaurant.
Michael Ansley, President and CEO of DRH, commented, “Lakeland is a rapidly-expanding region of nearly 600,000 residents that has grown by 20% over the last 10 years, with the median family income advancing at a similar pace. The new restaurant will be located near the main entrance to the Lakeland Square Mall, the area’s largest and most upscale shopping destination. Our restaurant, near I-4, will enable us to take advantage of the heavy traffic between Tampa and Orlando. We continue to execute our organic growth strategy of operating 38 Buffalo Wild Wings stores by 2017, and have finalized our franchise agreement for our previously-announced Traverse City, Michigan, Buffalo Wild Wings restaurant, which remains on track to open in the first quarter of 2011.”
In addition to the Lakeland restaurant, the Company plans to open its 19th BWW restaurant, in Fort Myers, Florida, later this year and its 20th restaurant, in Traverse City, Michigan, in early 2011. DRH has an Area Development Agreement with Buffalo Wild Wings, Inc. which requires a total of 38 BWW restaurants in Michigan and Florida by 2017.
DRH currently operates three Company-owned Bagger Dave’s restaurants in Michigan: Berkley, Ann Arbor, and Novi. A fourth restaurant is scheduled to open, in Brighton, Michigan, later this year.
About Diversified Restaurant Holdings
DRH is a leading BWW® franchisee and currently operates 18 BWW restaurants (five in Florida and 13 in Michigan), with the 19th scheduled to open in the fourth quarter of 2010 and the 20th and 21st scheduled to open in the first quarter of 2011. DRH is also the recipient of many franchise awards, including an award for the Highest Annual Restaurant Sales.
The Company also owns and operates its own unique, full-service, ultra-casual restaurant and bar concept, Bagger Dave’s, which was launched in January 2008. The concept focuses on local flair with the interior showcasing historic photos of the city in which it resides. Bagger Dave’s offers a full-service, family-friendly restaurant and bar with a casual, comfortable atmosphere. The menu features freshly made burgers (never frozen), accompanied by more than 30 toppings from which to choose, fresh-cut fries, hand-dipped milkshakes, and a selection of craft beer and wine. Signature items include Sloppy Dave’s BBQ®, Train Wreck Burger®, and Bagger Dave’s Amazingly Delicious Turkey Black Bean Chili®. There’s also an electric train that runs above the dining room and bar areas. All current and future restaurants will be smoke-free. Currently, there are three restaurants in the State of Michigan, with the fourth scheduled to open in the fourth quarter of 2010. DRH has filed for rights, and has been approved, to franchise Bagger Dave’s in the States of Michigan, Indiana, Ohio, and Illinois. For more information, please visit www.baggerdaves.com.
DRH routinely posts news and other important information on its Web site at www.diversifiedrestaurantholdings.com.
Safe Harbor Regarding Forward Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended.
Forward-looking statements are subject to risks, uncertainties and assumptions and are identified by words such as “expects,” “estimates,” “projects,” “anticipates,” “believes,” “could,” and other similar words. Forward-looking statements are based upon the current beliefs and expectations of management. All statements addressing operating performance, events, or developments that DRH expects or anticipates will occur in the future, including but not limited to franchise sales, restaurant openings, financial performance, and adverse developments with respect to litigation or increased litigation costs, the operation or performance of the Company’s business units, or the market price of its common stock are forward-looking statements. Because they are forward-looking, they should be evaluated in light of important risk factors and uncertainties. Actual results may vary materially from those contained in forward-looking statements based on a number of risk factors and uncertainties including, without limitation, our ability to operate in new markets, the cost of commodities, the success of our marketing and other initiatives to attract customers, customer preferences, operating costs, economic conditions, competition, the availability of financing for franchisees and the Company, and the impact of applicable regulations. These and other risk factors and uncertainties are more fully described in the Company’s most recent Annual and Quarterly Reports filed with the Securities and Exchange Commission. Undue reliance should not be placed on the Company’s forward-looking statements. Except as required by law, DRH disclaims any obligation to update or publicly announce any revisions to any of the forward-looking statements contained in this press release.