Los Tacos No. 1, the celebrated Tijuana-style taco chain that first captured the city’s attention at Chelsea Market back in 2013, is preparing for a major expansion. The company recently announced it has secured a strategic investment from TSG Consumer, a private equity firm known for scaling high-growth brands like Dutch Bros and Yard House. While the specific financial details and whether TSG holds a majority stake remain confidential, the partnership signals a new chapter for the street food favorite as it looks beyond its current footprint.
The move comes after years of steady success in Manhattan, where Los Tacos No. 1 now operates ten locations alongside its seafood sibling, Los Mariscos. For cofounders Christian Pineda, Tyler Sanders, and Kyle Cameron, along with chief operating partner Jacobo Ackerman, the venture began as a personal mission to bring authentic flavors they missed from home to New York City. In a recent statement, the leadership emphasized that finding the right partner was crucial because they wanted someone who shared their commitment to authenticity while helping them reach new cities.
Despite the infusion of corporate capital, those frequenting their stands won’t see any immediate changes to the menu or atmosphere. The founders will continue to manage daily operations, ensuring that the quality remains consistent as they grow. According to Colin Welch, managing director at TSG, the firm’s primary objective is to support thoughtful growth without sacrificing the gritty, distinctive taco shop experience that earned the brand such a devoted local following.
To navigate this complex transition, several heavy hitters joined the table during negotiations. East Wind Advisors acted as the financial guide for Los Tacos No. 1, supported by legal teams from Davis Polk & Wardwell and Pryor Cashman. On the other side of the deal, Ropes & Gray provided legal counsel for TSG Consumer as they stepped into what promises to be one of New York’s most exciting culinary expansions in recent years.