A rare public-private franchise recruitment deal emerged from Illinois on August 19, 2026. The City of Dixon announced it is partnering with Perkins Restaurant & Bakery to attract a new franchisee through a two-part incentive package: reduced property taxes on a ready-to-build site from the city, and a reduced royalty fee from the brand itself.
Perkins Restaurant & Bakery is a family-dining franchise brand founded in 1958, with close to 300 company-owned and franchise locations across the United States and Canada. The brand reported record franchise signings in fiscal year 2025 and has communicated plans to open new locations through fiscal year 2026. The Dixon arrangement targets a site in the city’s tollway corridor, an area local officials say has seen sustained demand for sit-down dining options.
A Two-Part Incentive Package to Lower the Cost of Entry
The structure of the Dixon deal combines contributions from both parties. On the city side, Dixon is offering a prepared plot with electric, water, and sewer hookups already in place, along with reduced property taxes on the site. On the brand side, Perkins is offering a reduced royalty fee for the incoming franchisee. Construction costs and other startup expenses associated with building out and opening the restaurant would remain the responsibility of the future franchisee.
A City Government Steps In to Fill a Dining Gap
Municipal governments occasionally offer land or tax packages to attract commercial tenants, but co-recruiting a specific franchise brand alongside a reduced royalty offer from the franchisor is less common. Mayor Glen Hughes of Dixon cited direct community feedback as the motivation for the initiative.
Municipal incentive structures vary widely by location and are shaped by local tax codes, available land inventory, and the terms that individual brands are prepared to negotiate on a case-by-case basis.
Perkins’ Broader Franchise Development Trajectory
The Dixon announcement is part of a wider expansion push at Perkins. The brand has updated its menu, store design, and overall guest experience as part of a multi-year repositioning effort, and recorded its strongest franchise signing performance in recent memory during FY25. Ascent Hospitality Management’s franchise development team works with new partners across site planning, pre-opening training, marketing support, and ongoing operational assistance. The brand currently operates in both new and established US markets, with additional openings projected for FY26.
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