Once-thriving fast food restaurant chain opens its first Texas location in a decade
Krystal has opened its first restaurant in Texas in more than 10 years, marking a major step in its comeback strategy.
The new location, inside the EZ Travel Center in Tyler, began serving customers on April 15. It's the brand's first 24/7 restaurant at a rest stop.
Founders Rody Davenport Jr. and J. Glenn Sherrill opened Krystal in 1932 after purchasing a Tennessee property for $5,000 during the first years of the Great Depression.
The burger joint was thrust into the spotlight in 1954 after a popular DJ ordered 100 sliders for him and Elvis Pressley to hand out to fans outside the restaurant.
With guests like then-Georgia governor Jimmy Carter and former President Ronald Regan, Krystal's popularity drastically grew, leading to its first franchise launch in 1990.
Known for its sliders and chili cheese pups, Krystal now operates over 300 restaurants — far smaller than rivals like McDonald's.
Now owned by SPB Hospitality, Krystal is pushing for expansion. It plans to open 200 more locations in the next three to four years, many in nontraditional formats like travel centers, airports, and convenience stores.
'We'll keep growing with traditional restaurants, but high-traffic hubs allow us more flexibility and efficiency,' said SPB CEO Josh Kern.
Krystal is aiming to open 200 new restaurants over the next three to four years
Highway 31 Food Service, the franchisee of the Tyler location, also plans to open more restaurants from this 'iconic brand' in Texas.
'We see enormous potential in bringing Krystal to formats like this travel center,' Jagtar 'Jag' Thethy with Highway 31 Foodservice said.
'We're optimistic about what's ahead and seeing where this momentum takes us.'
Krystal has faced financial problems over the year, and had twice filed for bankruptcy protection.
Its latest bankruptcy was January 2020 after amassing as much as $100 million in debt.
However, Krystal exited bankruptcy later that year after it was acquired by Fortress Investment Group, the owner of SPB Hospitality.
Sales have bounced back and there are no plan for closures like some rivals. For example, last month J ack in the Box said it would shutter 150 to 200 locations.
Krystal has also stayed out of the value meal wars and chicken sandwich wars, and SPB Hospitality modernized some locations by adding digital menu boards and drive-thru lane improvements.
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