Krispy Kreme has signed a franchise development agreement to open 33 new shops across the New York metro area over the next five years. The deal pairs the chain with Original Entrepreneurs LLC, a franchisee since 2017 that currently operates 12 Krispy Kreme shops across New Jersey and New York.

The new units will be developed in New York City and the surrounding region, including Long Island and New Jersey. For Krispy Kreme, the agreement continues a deliberate shift toward franchised growth rather than company-built shops.

"We're pleased to continue growing with Original Entrepreneurs," CEO Josh Charlesworth said in a statement. "This development agreement reflects our focus on capital-light franchise growth and enables us to expand with an operator that has deep expertise building and operating Krispy Kreme shops in a competitive market."

Karl Halligan, principal of Original Entrepreneurs, said the company is confident in the strength of the brand.

Why the deal fits the turnaround

The agreement sits inside a four-part turnaround plan Krispy Kreme introduced last year. The McDonald's partnership ended, leaving the chain with heavy debt and no major revenue stream. The plan calls for refranchising, asset-light development, cost cutting, and a push toward long-term profitability.

The New York agreement is a new standalone deal with an existing partner, a distinction that matters in Krispy Kreme's recent dealmaking. In March, the company expanded its partnership with WKS Restaurant Group, which raised its stake in the joint venture from 45% to 80% and added 23 shops in California and Hawaii. That transaction refranchised existing assets rather than committing a partner to build new ones, though WKS also agreed to develop additional shops.

Throughout 2026, franchise development deals have largely targeted international markets: the Netherlands, Estonia, and Mauritius, all part of the capital-light global expansion strategy. The New York agreement brings that approach back to a domestic, high-density market.

What does the unit count history show?

Krispy Kreme's U.S. footprint tells a story of expansion, retrenchment, and slow rebuilding. The chain grew steadily after its 2000 IPO and operated 338 U.S. locations by 2004, according to Technomic data. From 2005 to 2009, the base fell sharply to 224.

The rebuild took more than a decade. Units peaked at 368 in 2021. Technomic put the count at 350 at the end of 2025, while the company website currently lists 361 shops.

The 33-unit commitment, if fully built, would push the chain past its 2021 peak and give it its largest U.S. footprint in company history. That outcome depends on execution in one of the country's most competitive retail markets, where Original Entrepreneurs has already proven it can operate at scale.