Dutch Bros Coffee has four identified sites in Northeast Florida as the Oregon-based chain expands through Texas into the Southeast.
The Oregon-based national chain of drive-thru kiosks added 5733 Roosevelt Blvd. to its site list as the city reviews a permit and civil engineering plans for the location. The St. Johns River Water Management District also is reviewing an application.
Pavilion Development Co. of Charlotte, North Carolina, is listed as the owner. Coralic Architecture of St. Louis, Missouri, is the architect. Bowman Consulting Group Ltd. of Melbourne is the civil engineer.
The 950-square-foot kiosk will have two drive aisles with a service window as well as a walk-up service window. There is no indoor seating.
The estimated cost of the project is $450,000 for the 0.55-acre site.
The previous three identified sites in Northeast Florida are Palencia in St. Johns County; along Argyle Forest Boulevard in Southwest Jacksonville; and Baymeadows at the Point Meadows shopping center.
Dutch Bros carries coffee, drinks and a limited menu of pastries with no cooking on-site.
Dutch Bros offers cold brew, chai, hot coffees, energy drinks, teas, lemonades, smoothies and its signature Dutch sodas.
The food menu includes granola bars and muffin tops.
Florida expansion signaled in 2021
Dutch Bros Inc. is based in Grants Pass, Oregon. It has been expanding and as of June 30, 2023, had 754 shops in 14 states. Of the locations, 473 are company-owned and 281 are franchised.
It opened 38 stores in the second quarter with an outlook of at least 150 openings for the year. Of those, at least 130 will be company owned.
The company projects revenue of $950 million to $1 billion for the fiscal year, which is the calendar year.
Brothers Dane and Travis Boersma founded Dutch Bros in 1992 with a double-head espresso machine and a pushcart in Grants Pass. Dutch Bros Inc was formed June 4, 2021, to become a public company.
In a Securities and Exchange Commission filing Aug. 4, the company included the states in which it will be operating through the LLCs that are created.
BB Holdings FL LLC was registered with the state in November 2021, indicating the company has been looking for sites since then.
BB Holdings is led by Boersma Bros. LLC.
Dutchbros.com shows that Dutch Bros now has locations open or “opening soon” in 16 states: Alabama, Arizona, California, Colorado, Idaho, Kansas, Kentucky, Missouri, New Mexico, Nevada, Oklahoma, Oregon, Tennessee, Texas, Utah and Washington.
The SEC filing, for a credit agreement amendment, lists 18 BB Holdings LLCs that include Florida and Arkansas.
Dutch Bros leadership
President Christine Barone since February 2023 takes on the additional role of CEO effective Jan. 1, 2024, succeeding Joth Ricci. Barone previously was CEO of True Food Kitchen for almost seven years.
Barone said Aug. 8 in the second-quarter earnings conference call with analysts that since entering the Texas market in 2021, Dutch Bros has opened 131 shops in the state.
“Texas is a high-potential market and a critical component of our eastbound expansion,” she said
“Building depth and scale there has moved our operations closer to newer markets in the Southeast.”
She said that a “refined real estate strategy” allows the company to build “the right shops at the right time and expanding our footprint at the right pace on our path to 4,000 shops.”
The name is pronounced “Bros” and not as “brothers.”
Spokesperson Madison Fahey said May 12 all of the shops that are opening are company-owned and locally operated.
She said the company’s real estate and development team determines how many and where the shops will be.
Dutch Bros Inc., a public company trading on the New York Stock Exchange, said it is one of the fastest-growing brands in the food service and restaurant industry in the U.S. by location count.
“While espresso-based beverages are still at the core of what we do, Dutch Bros now offers a wide variety of unique, customizable cold and hot beverages that delight a broad array of customers,” the company says.
QSRmagazine.com, a quick-service restaurant trade site, reported Jan. 12 that in terms of unit count, the only beverage chains bigger than Dutch Bros in the U.S. are Starbucks and Dunkin’.
It reported that similar to Chick-fil-A, employees greet drivers outside and take orders, and then two lanes merge into one.
Workers run smaller orders to cars farther back in line and those vehicles can then take an “escape lane” to exit the drive-thru without having to wait until the window. This layout is built into all new models.
QSRmagazine.com said more than 60% of new locations in 2023 will be in California and Texas. Many of the rest will be in other Western states, including Arizona, Nevada, Utah, Colorado and New Mexico.
There will also be continued growth farther east in Oklahoma, Missouri and Tennessee. New markets this year will be Kentucky and Alabama.
The other three in Northeast Florida
For the other three Northeast Florida locations:
• City utility JEA is reviewing a service availability request for Dutch Bros to set up a 950-square-foot kiosk at 10915 Baymeadows Road at Point Meadows, the Winn-Dixie-anchored shopping center at Interstate 295 and Baymeadows Road. Z Development Services of Orlando is the consultant.
• St. Johns County received an application for a 950-square-foot drive-thru for the chain on 0.8 acre at U.S. 1 and McCoy Way in St. Augustine.
• Dutch Bros also is working on development of a 950-square-foot drive-thru kiosk on a 2.23-acre site that is part of a 9.63-acre site along Argyle Forest Boulevard. Pavilion Development is the developer. BGE Inc. is the civil engineer. The city is reviewing civil engineering plans submitted July 3. The wooded site is west of Rampart Road and is south of Argyle Forest Boulevard. Chimney Lakes Investment Co. of Jacksonville owns the property.
Dutch Bros joins several coffee drive-thru kiosk chains opening in the area, including Ellianos, Scooter’s, 7Brew, The Human Bean and continued expansion by Dunkin’ and Starbucks Coffee Co.