Portfolio Sale Will Lead to Applebee’s-IHOP Locations in CA and OR

Walnut Creek-based Monarch Commercial Advisors arranged the sale of nine Applebee’s locations across California and Oregon. The buyer, a major IHOP franchisee based in Los Angeles, will convert seven of the sites into dual-branded Applebee’s-IHOP restaurants, reportedly marking the first such locations in California and Oregon following a successful U.S. debut for the concept in Texas earlier this year.

“Rising construction costs and shifting consumer patterns are driving retailers to get more efficient with designing their store layout,” said Monarch VP Brandon Norton. “Whether it’s Starbucks closing large format cafes and building smaller coffee kiosks or this Applebee’s-IHOP dual-brand format, the goal is the same — capture more revenue across the day, boost margins and maximize the value of existing sites.”

Introduced in overseas markets before coming to the U.S., the dual-branded concept is intended to improve convenience for guests while enhancing operating efficiency. The first U.S. Applebee’s-IHOP combination restaurant in Seguin, TX, reported opening-week sales nearly three times higher than the standalone format it replaced, Monarch said.

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