QDOBA Mexican Eats has signed a 17-unit development agreement in San Diego County with Hyperion Brands LLC, a local multi-unit operator. Announced on September 9, 2026, the deal is the second major California franchise agreement the brand has signed this year, as it works toward a stated target of approximately 2,000 restaurants at a pace of around 100 openings annually.
QDOBA currently operates approximately 875 restaurants, around 80 % operating as franchise brands across 46 states, as well as in Canada, Puerto Rico, Japan and South Korea. Earlier in 2026, the chain signed a development agreement to enter Ventura and Santa Barbara counties with a separate experienced operator, establishing California as one of its most active franchise recruitment markets. The San Diego agreement adds a third California foothold with a franchisee group the brand describes as operations-first and locally connected.
QDOBA Adds 17 Restaurants to Its California Development Pipeline
The development agreement covers 17 restaurants across San Diego County and is led by Hyperion Brands LLC, a San Diego-based multi-unit operator co-founded and led by Cesar Shih. Shih is also a franchisee and multi-unit operator of Habit Burger & Grill, bringing cross-brand operational experience to the partnership.
The San Diego County agreement represents a significant unit commitment in a single market and follows the structure QDOBA has used to expand in other priority states, relying on regional operators with established development pipelines rather than individual owner-operators.
A Hometown Operator with a Multi-Brand Track Record
Cesar Shih and the Hyperion Brands team bring both local market knowledge and a background in franchise operations to the QDOBA partnership. San Diego is Hyperion’s home base, a factor QDOBA cited in selecting the group for what would be one of the brand’s largest single-market development agreements in California.
“We see real opportunity for QDOBA to stand apart with its fresh, customizable menu and signature offering of free guacamole and queso with any create-your-own entree. As a San Diego based operator, we’re looking forward to bringing QDOBA’s bold flavors and great value to our guests across the region,” says Cesar Shih, CEO and Co-Founder, Hyperion Brands LLC.
California Among Five Priority States in QDOBA’s Expansion Strategy
QDOBA has publicly identified California, Florida, Georgia, Tennessee and Texas as the states where it is most actively seeking franchise development. Within California, the brand sees growing demand in markets including Bakersfield, Sacramento, San Bernardino and the Bay Area.
The chain already operates at San Diego International Airport and is expanding into non-traditional venues such as universities and military bases nationally. The franchise-led model accounts for a growing share of the brand’s total restaurant count, a proportion QDOBA has said it intends to increase as it scales.
Franchise-Led Momentum Toward a 2,000-Restaurant Network
QDOBA and its franchise partners have set a goal of roughly doubling the brand’s current restaurant count to approximately 2,000 locations, with a stated development pace of around 100 openings per year. Reaching that target from 875 units implies a sustained multi-year buildout heavily dependent on signed development agreements converting to open restaurants on schedule.
The California agreements signed in 2026, including the San Diego deal with Hyperion Brands, are part of the franchise infrastructure the brand is assembling to support that trajectory in one of the United States’ largest and most competitive restaurant markets.
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