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Turning Dunkin' Donuts to Dough

Investors including Colt McCoy brew up plans for 23 Dunkin' Donuts in Austin area

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Dunkin' Donuts Austin area
Dunkin' Donuts will soon be within easy reach, Austin. Photo courtesy of design styles architecture +

Back in December 2012, plans were unveiled for 24 more Dunkin’ Donuts coffee and doughnut shops in the Austin area. But since then, visible activity on the expansion front has been almost as stale as a five-day-old breakfast pastry. Now, expansion efforts are finally beginning to percolate.

Late this spring or early this summer, a Dunkin’ Donuts store is set to open in Kyle, said Dale Mulvey, one of the partners in local franchisee Coffee Action West LLC.

“We expect to announce several more location commitments soon,” Mulvey said. “Our goal is to put Dunkin’ Donuts within easy reach of all of Austin.”

Currently, three Dunkin’ Donuts locations are operating in the Austin area, including one that Coffee Action West opened last August in Cedar Park. The investment group bought the two Central Texas stores — one in Austin and the other in Round Rock — that were open before the franchise agreement was announced.

In the Austin area, three of the planned stores will be Dunkin’ Donuts/Baskin-Robbins combos. Dunkin’ Brands Group owns the doughnut and ice cream concepts. The rest of the new stores in the Austin area will dedicated solely to Dunkin’ Donuts.

Coffee Action West is financed by Michael Karsch, whose investment management firm returned $1.8 billion to clients in 2013. Mulvey said the closure of Karsch’s investment firm has not affected the franchise group's efforts in the Austin area.

Former University of Texas quarterback Colt McCoy remains a “key member” of the Austin franchise group, Mulvey said.

“Our plans are unchanged,” Mulvey said. “We … are excited about our plans to bring at least 23 more locations to the Austin area over the next several years.”

Dunkin’ Brands says franchisees and licensees plan to open 380 to 410 new Dunkin’ Donuts stores and five to 10 new Baskin-Robbins locations throughout the United States this year.

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