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Taco Bell, you've got competition

Chains are poised to invade a city noted for lack of choices in Mexican

After years of grumbling over Boston's scarce Mexican offerings, the city will soon face a burrito invasion.

Large fast-food Mexican chains, including El Pollo Loco and Qdoba, are descending upon New England, armed with major expansion plans to challenge mom-and-pop rivals such as Anna's Taqueria and old standbys like Taco Bell.

Meanwhile, Chipotle Mexican Grill, a higher-end version of Taco Bell that is largely owned by McDonald's Corp., is actively seeking territory in Boston and aiming to open restaurants within the next year. Even The Wrap, as it is currently known, is getting a total burrito makeover this month, including a menu shakeup and a name change to Boloco.

Restaurateurs say they are finally realizing that stodgy New Englanders eat more than crab cakes and clam chowder. The state's growing Mexican population, which increased 75 percent to 22,288 between 1990 and 2000, hasn't hurt either. With a variety of ethnic cuisines coming to the area in recent years, the Boston area is now a fertile expansion ground, and in some cases, a final frontier, for these Mexican chains.

''There's a big void in the marketplace for quality Mexican food," said Jeff Ackerman, who opened six Qdoba Mexican Grill restaurants in the past 14 months and plans to build another 30 eateries in New England over the next five years. ''For a long time, restaurants viewed the Boston palate as not that adventuresome. But it's changed and we're ready to bring Boston quality Mexican food."

Over the past few years, fast food giants like McDonald's and Wendy's International Inc. (parent company of Baja Fresh) have turned to Mexican food as a way to expand offerings. Between 1997 and 2002, Mexican chains grew about 38 percent -- faster than any other segment in the fast casual food industry, according to Ritch Allison, a Bain & Co. analyst.

Analysts say Mexican food chains offer mature restaurant companies an avenue of growth at prices higher than a Big Mac value meal. Last week, McDonald's said it planned a partial spinoff of its fast-growing Chipotle chain with an initial public offering. Earlier this week, an investment company agreed to buy the Irvine, Calif., El Pollo Loco chain as a way to expand the eateries across the country.

''The burger market is oversaturated," said Ryan Mathews, the president of Black Monk Consulting, a Detroit firm. ''These Mexican chains offer mass-market products and you don't have to be a member of an ethnic group to like it. It is a way to grow these chains as more and more Americans eat away from home."

Now, with almost every major Mexican chain eyeing New England, the race for real estate is on and questions are being raised about whether there's room for everyone to fiesta in Boston. Qdoba, owned by fast-food giant Jack in the Box Inc., already has opened six stores in the past 14 months, targeting the stomachs of college students near Boston University, Harvard University, and Northeastern University.

Several of these new eateries -- which offer everything from naked burritos to poblano pesto burritos -- are located just feet away from rivals, including Anna's Taqueria in Porter Square and The Wrap near NU. And Taco Bell, which is owned by Yum Brands Inc., is just down the street from a Qdoba near BU.

The Wrap says it is ready for the burrito wars. Last year, the small 12-store chain snatched Mike Harder from Chipotle, where he was working as director of operations in Texas. Now, chief executive Harder will oversee the plan to transform the franchise into Boloco and plans to add more than 20 restaurants in the Boston area over the next five years.

''We want to own the burrito market," Harder said. ''And we will."

Meanwhile, El Pollo Loco, known for its citrus-marinated, flame-grilled chicken, just signed a deal to open 25 locations in New England. The plan is to eventually quadruple that number.

''We look at all the burrito guys -- Anna's, Qdoba, Chipotle -- and it's all very excellent but limited," said Mitch Roberts, owner and operator of the El Pollo franchises in New England. ''We have a very, very broad appeal and meals that you want to take home to your family."

Still, for people like Lauren Cohen, a Georgia native, the onslaught of fast-food Mexican chains is, well, ''kind of pathetic."

''I appreciate the effort but I don't think cheap, stereotypical fast-food Mexican is where we should be going," Cohen said. ''It's bizarre that the only real Mexican we might possibly have here is a chain. A lot of people in Boston are either frustrated or don't know what they're missing."

Until now, Boston's Mexican market has largely been dominated by smaller taquerias and local Mexican eateries. Anna's Taqueria owner Mike Kamio is not too worried by the newfound rivals and says it will make all the Mexican restaurants maintain quality food and be more responsive to customers.

For almost nine years, Anna's didn't offer a single new menu item until last fall, when it introduced tacos al pastor. As competition intensified, Anna's also rolled out horchata, an almond rice Mexican beverage.

''You cannot be afraid of competition in the restaurant business," Kamio said. ''You are only as good as your last burrito."

Jenn Abelson can be reached at abelson@globe.com.

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