Huey Magoo’s Signs 15-Unit Houston Deal to Fuel Texas Growth
Huey Magoo’s continues its aggressive franchise expansion with a new 15-unit development agreement signed by SMR Capital Group, targeting the Houston metropolitan area over the next five years.
The agreement strengthens the chicken tender chain’s presence in Texas and follows an earlier Dallas-area expansion announcement made just months ago.
Despite being SMR Capital’s first restaurant operating platform, confidence remains high from both ownership groups.
A Growth Model Built Around Franchisees
CEO and President Andy Howard says franchise success remains the center of Huey Magoo’s growth strategy.
Rather than expanding with just any operator, the company prioritizes qualified franchisees aligned with the brand’s long-term goals. Leadership evaluates each decision through the lens of whether it supports the franchise network.
That disciplined approach has helped the brand scale efficiently.
Texas Becoming a Key Expansion Market
Huey Magoo’s entered Texas in February through a 12-unit agreement with Jha Rajput Patel Group, including eight planned Dallas locations.
Now, the Houston commitment adds another major market and signals the company’s serious intent to build statewide scale.
Texas offers major advantages for restaurant brands:
- Rapid population growth
- Strong suburban development
- High quick-service demand
- Business-friendly environment
- Large multi-city expansion potential
Leadership Has Existing Texas Roots
Texas is already familiar territory for parts of the Huey Magoo’s leadership team. Several executives, including Howard, acquired the brand in 2016 after previously working with Wingstop, the Texas-based chicken chain.
That background gives the company valuable market perspective as it expands.
Why Muhammad Ali Selected Huey Magoo’s
SMR Capital CEO Muhammad Ali said he sought a restaurant concept with the right fundamentals before entering the industry.
His criteria included:
- Strong store economics
- Attractive food category
- Growth potential in Houston
- Standalone development opportunities
Huey Magoo’s matched those requirements.
Ali said he was especially attracted to the branding and outlook of the standalone restaurant model.
Strong Business Background Supports Rollout
Although new to foodservice operations, Ali brings cross-sector experience in:
- IT services
- Medical distribution
- Commercial real estate
- General contracting
To strengthen restaurant execution, he appointed Jason Gilbert as operating partner and vice president of operations.
SMR Capital believes Gilbert’s operations role, Ali’s Houston knowledge, and their shared experience in scaling businesses create a strong platform for growth.
Prototype Innovation Driving Interest
Howard said the company’s new prototype has become a major differentiator.
The brand now operates 88 units and introduced a 1,500-square-foot restaurant model last year, replacing the older 2,500-square-foot footprint as the primary growth option.
Why it matters:
- Lower buildout investment
- More real estate opportunities
- Smaller inline spaces available
- Drive-thru flexibility
- Improved ROI potential
Howard added that some franchisees prefer drive-thru models, while others prioritize lower-cost smaller stores. Real estate economics often determine the best fit.
Houston Development Moves Forward
Ali said that exact flexibility is important in Houston, where the group is evaluating multiple formats based on available real estate.
The first Houston location is expected later this year.
Local Awareness Strategy Before Launch
Ahead of opening, SMR Capital is focused on operations and community visibility.
Its marketing strategy includes outreach through:
- Social media engagement
- Schools
- Churches
- Mosques
- Community organizations
The goal is to establish trust and become recognizable before expansion accelerates.
Huey Magoo’s Sees Long-Term Texas Upside
Howard said the company has long wanted to make a major move in Texas, and Houston represents a major step forward.
He believes Muhammad Ali and Jason Gilbert are the right partners to execute growth in one of America’s most dynamic restaurant markets.
