Papa John's refranchises Papa John's USA restaurants

Papa Johns International, Inc. (Nasdaq: PZZA) has completed the refranchising of 85 Papa Johns restaurants in the Washington, D.C., and Baltimore markets, previously operated by Colonel’s Limited, LLC, a joint venture between the company and Steeplechase Express, Inc. The restaurants have been transferred to Pie Investments, led by franchisee Chris Patel, who is now one of the largest domestic franchise partners for Papa Johns. Patel has also committed to opening 52 additional restaurants in the Greater Philadelphia, Washington, D.C., and Baltimore markets by 2030.

This strategic refranchising follows a broader shift by Papa Johns to reduce its ownership of company-operated locations. As of the third quarter of 2025, the company operated 545 of its 3,507 North America locations, or approximately 16% of its domestic footprint. CEO Todd Penegor has indicated plans to accelerate the sale of corporate-owned units to franchisees over the next two years, aiming to bring the company-owned percentage down to the “mid-single-digit” range, a model common among major franchise brands.

Pie Investments, which already operates more than 150 Papa Johns locations, has set a goal of owning 250 restaurants by 2030. The company emphasizes a performance-driven culture, investing in technology, operational efficiency, and team development to support long-term growth.

The refranchising of Colonel’s Limited, LLC marks the retirement of William Freitas, a long-standing franchisee partner who helped grow Papa Johns into the world’s third-largest pizza delivery company. Freitas was among the first to adopt digital ordering, contributing to Papa Johns becoming first major pizza chain to offer online ordering.

Papa Johns has stated that refranchising with “strategy-forward, well-capitalized growing franchisees” strengthens the long-term health of the system and unlocks future growth opportunities. The company’s decision aligns with broader industry trends favoring franchisee-led expansion and operational flexibility.