GB Foods Planning Alliance to Land More Restaurants

GB Foods Corp., parent of the Green Burrito Mexican food chain, said it intends to form an alliance with Franchise Finance Corp. of America that would boost GB Foods’ expansion into more restaurant chains.

Under the arrangement, Franchise Finance would purchase restaurant sites and lease them to GB Foods, allowing the Anaheim restaurant operator to expand while avoiding costly property deals, said Andrew F. Puzder, GB Foods’ chief executive.

GB Foods also announced it plans to change its name to Santa Barbara Restaurant Group to better reflect its expansion beyond its main chain, Green Burrito.

The company, for example, is moving into the casual-dining steakhouse niche, with pending acquisitions of Timber Lodge Steakhouse and JB’s Family Restaurants. If the acquisitions win shareholder approval, GB Foods will own 18 Timber Lodge restaurants in five states and 62 JB’s Family restaurants in six states.

“We’re not just going to be Green Burrito anymore,” said Puzder, who lives in Santa Barbara. “We’re going to be Green Burrito, JB’s and Timber Lodge.”

Franchise Finance, based in Scottsdale, Ariz., provides acquisition financing for the chain restaurant, convenience store and automotive service parts industries. The company has investments in a number of chains, including Burger King, Wendy’s and Taco Bell.