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TEAM Schostak to put $18 million into upgrading Wendy’s locations

A Michigan-owned fast-food franchisee is making a big investment to upgrade many of its restaurants.

Livonia-based TEAM Schostak Family Restaurants plans to spend $18 million to upgrade 49 of its Wendy’s locations across the state. The plan will create 300 jobs, according to a Dec. 8 press release.

The work, to be completed over the next six years, is part of Dublin, Ohio-based Wendy’s national “Image Activation” plan, set to remake restaurants with smaller footprints, enhanced technology and increased customer amenities.

TEAM Schostak Executive Chair Mark Schostak said in a statement that the company is eager to create employment opportunities and to invest in the communities the company does business in.

“We’ve worked hard to build our reputation as a leader in attracting, developing and retaining talented people,” Schostak said. “We’re proud to continue that tradition as we remake our Wendy’s restaurants for the future and continue to build our portfolio of great, quick-service concepts in Michigan.”

Several positions will be created, including crew persons, managers, general managers and area directors, according to TEAM Schostak Director of Development Tom Gergich.

The company’s first Wendy’s upgrade is taking place in Clare and is set to be complete in January. Locations in Lansing, Canton Township and Hastings will undergo facelifts next year as well.

Gergich said by focusing on staffing, service, and improving physical plants, the company has grown the business each month since acquiring 56 Wendy’s in 2018. He said the group expects sales to increase as each remodel is complete, but declined to give specific figures.

The pandemic hasn’t slowed the fast-food business, including Wendy’s, Gergich said. He noted that fast food has been moving more toward drive-thru and delivery for the past five years, and the pandemic has accelerated that trend. Wendy’s soon will offer a curbside delivery option, Gergich said. The new option will have an effect on building size, he said, but it’s unknown just how much it will affect building square footage.

“Brands with drive-thru are doing well during the pandemic,” Gergich said. “Our biggest issue is finding employees. We need help at our Wendy’s and Del Taco locations. The dining room closure has affected our sit-down brands, as we don’t need servers when the dining rooms are closed.”

TEAM Schostak has 161 restaurants in Michigan. They also include 63 Applebee’s, eight Del Tacos, 11 Mod Pizzas and 24 Olga’s Kitchen locations.

The restaurant group plans to celebrate newly renovated Wendy’s restaurants with community fundraisers, ribbon-cutting events, and promotions for customers. Seven of the company’s locations had been remodeled before TEAM Schostak acquired them, Gergich said.

“We’re excited to get these restaurants remodeled,” Gergich said, “and continue to provide our customers with the best service possible in a clean, safe, and undated restaurant.”


Posted By: Crain’s Detroit Business on December 9, 2020.  For more information, please click here to read the source article.

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