New York City’s taco obsessives are suddenly feeling nervous about the future of their adobada.
Los Tacos No. 1, the wildly popular Tijuana-style taco chain that began at Chelsea Market in 2013, has received an investment from the private equity firm TSG Consumer. The amount was not disclosed, nor did the companies reveal whether TSG acquired a majority or minority stake.
For now, the deal does not appear to be a full-blown takeover. Co-founder and CEO Christian Pineda and chief operating partner Jacobo Ackerman will continue to run day-to-day operations, with TSG serving as both an investor and a strategic partner.
The agreement appears designed to fuel expansion. Los Tacos currently operates 10 Manhattan locations, plus its seafood sibling, Los Mariscos, in Chelsea Market, and its founders say they want to expand the brand into additional neighborhoods and cities.
“When we moved to New York City, we couldn’t find good tacos that tasted like the ones we grew up with, so we set out to change that,” Pineda, Tyler Sanders, Kyle Cameron and Ackerman said in a joint statement. “TSG shares our belief that more cities deserve authentic tacos like these.”
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TSG’s current and former investments include Pura Vida Miami, Dutch Bros, Yard House and the retail arm of Stumptown Coffee Roasters. The firm says it will help Los Tacos pursue “thoughtful growth” while preserving both the food and the taco-shop experience.
Still, many fans heard “private equity” and immediately began envisioning $14 tacos filled with three shreds of mystery meat. Los Tacos responded to the backlash on Instagram with a cheeky reassurance: “No, we’re not going to start charging extra for guac. We’re not switching to horse meat. And no, we’re definitely not messing with the tacos.”
The company added that its standards and ingredients would remain unchanged: “Same tacos. Same people. Same passion. Same obsession. Just more LOS TACOS NO.1.”
Commenters were not entirely soothed. Some predicted higher prices and declining quality, while another announced they were screenshotting the pledge for future reference. That skepticism is understandable: private-equity deals have a reputation for bringing cost-cutting and aggressive expansion, two things that rarely make beloved restaurants more beloved.
For now, though, Los Tacos has not announced menu changes, price hikes or any specific new locations. The stated plan is simply more shops without meddling with the adobada. Whether the company can scale up while keeping its tortillas handmade, its meat juicy and its famously long lines worthwhile remains the delicious, slightly nerve-racking question.