Future unclear for Hervey Bay’s Carl’s Jr outlet

The future of a promised Carl’s Jr outlet to be built as part of a development in Hervey Bay is now uncertain after the US burger chain placed its Australian stores into voluntary administration.

American burger restaurant franchise Carl’s Jr. has gone into administration in Australia.

The future of Hervey Bay’s Carl’s Jr development is now uncertain after the US burger chain placed its Australian stores into voluntary administration, with 20 stores across the country forced to close immediately.

KPMG voluntary administrators have now assumed day-to-day control of operations.

The Carl’s Jr stores in Australia, collectively known as the CJ’s Group, is a licensee of Carl’s Jr restaurants in Australia and independently owns and operates 24 Carl’s Jr restaurants.

The CJ’s Group also serves as the master licensee to 25 Carl’s Jr restaurants independently owned and operated by third party sub-licensees.

In a statement, KPMG Australia said they would be focusing on “stabilising” the operations of the Group.

The new retail development on Main St, Kawungan is expected to take a year to complete and was to include a Carls Jr store.

“We will be conducting an immediate sale process of the existing store network and operations,” Hardy said.

“We will be working with all stakeholders, including employees, suppliers and landlords, to maximise the outcome for all parties.”

In 2023, it was announced that Carls Jr would be part of a new development on Main St in Kawungan.

A spokesman from KPMG said the site did fall under the voluntary administration.

He said KPMG was looking for a purchaser to take the site forward, but it was unclear what would happen after that and whether the restaurant would go forward.

The three building development at 158 Main St will be home to Banjo’s Bakery, King 4WD Supa Centre and a convenience store.

The 3934sq m block where the development is being built was bought in September 2021 for $1.1 million by Cavon Pty Ltd.

CJ’s Group independently owns and operates 24 Carl Jr restaurants, while it is a master licensee to another 25 locations which are owned and operated by third-party sub-licensees.

The 25 independently owned and operated stores are not included in the voluntary administration.

Only four stores are expected to remain open under CJ’s Group, while the other 20 closed immediately.