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San Diego Taco Chain With Just 4 Restaurants Plans Massive National Expansion

The chain, backed by LeBron James, has secured roughly 350 franchise commitments as it prepares for nationwide expansion.

NBA superstar LeBron James, who recently joined Mike's Red Tacos as an investor, is pictured at the restaurant. The San Diego-born chain has opened its fourth location in Pasadena and plans to expand nationwide. (Courtesy Mike's Red Tacos)

SAN DIEGO, CA — Mike's Red Tacos has just four restaurants, but its ambitions are far bigger: The San Diego-born birria chain has secured roughly 350 franchise commitments nationwide as it prepares to continue its growth from a humble food truck into a national fast-casual brand.

The chain recently opened its fourth restaurant — its first outside San Diego — in Pasadena, which will serve as a prototype for future restaurants and a training center for franchise operators as the company prepares to bring its signature tacos to communities across the country.

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The opening comes as Mike's Red Tacos accelerates its expansion with roughly 350 franchise commitments nationwide, QSR Magazine reported.

One franchisee has 36 locations planned in Florida.

The company has sold development rights in about a dozen states, including much of California, Arizona, Florida and the Northeast, according to Restaurant Business, which reported on the Pasadena restaurant's debut in October.

The expansion has attracted some high-profile investors, including James, who recently announced his involvement with the chain by reviving his popular "Taco Tuesday" catchphrase on social media.

The menu centers on slow-cooked beef birria, served in crispy red tortillas dipped in oil from the cooking process. The signature Mike's Meal includes two cheesy birria tacos, house-made chips and consommé, a rich broth served for dipping.

Other offerings include birria ramen, loaded nachos, burritos, quesadillas, loaded fries and a Crunchstack inspired by Taco Bell's Crunchwrap.

The Mike's Meal costs about $15, while the Crunchstack and birria ramen are priced at $13.99, Restaurant Business reported.

Mike Touma launched the business as a food truck in 2021, serving tacos just one day a week on Morena Boulevard in Bay Park. The truck quickly developed a following, with lines frequently stretching around the block, CBS 8 reported.

Touma opened his first brick-and-mortar restaurant in August 2022 in Clairemont, followed by additional locations in Mira Mesa and the Midway District.

The company's rapid growth has been guided by CEO Andrew Feghali, who previously operated franchises for Dave's Hot Chicken, Jersey Mike's and Little Caesars.

The company is also backed by restaurant industry veteran Bill Phelps, who helped build Wetzel's Pretzels, Blaze Pizza and Dave's Hot Chicken into national brands.

Feghali told QSR Magazine that the company is taking a measured approach to expansion, prioritizing experienced franchise operators and maintaining food quality as new restaurants open.

"We're going to open restaurants at a pace that we're comfortable with, full stop," Feghali told the publication. "It's not a sprint, it's a marathon."

More information is available at mikesredtacos.com.

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