Lenny's Franchisor LLC, franchisor of Lenny's Sub Shops, says this is its first franchise agreement in California and an important step in the chain's long-term expansion strategy. The new agreement "is going to open even more doors for Lenny's in the West," says George Alvord, CEO of Lenny's Franchisor.

One reason for the expected expansion in the West is that the chain is heading into high growth areas, especially Sacramento, which has been ranked as one of the fastest growing cities in the country. The chain has recently opened several restaurants in new markets, including Las Vegas, San Antonio and Charlotte.

In addition, the sub chain has sold multi-restaurant packages in several states, including Michigan, Kansas, Virginia, Texas and South Carolina. In addition to the more than 600 franchises in 17 states that the company has sold already, it expects to open between 400 and 500 new restaurants in the next few years.

Len and Sheila Moore opened the original Lenny's Sub Shop, a Philadelphia-style sub shop, in a Memphis suburb in 1998. Alvord and private investors acquired majority ownership of the company from Moore in 2004.

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