SAN FRANCISCO (KGO) -- A line formed around the corner of the new Bob's Donuts and Pastries location in San Francisco well before its grand opening Friday.
It's right down the street from the original location near Polk and Clay Streets.
"We're so excited for the new Bob's Donuts," San Francisco resident Nancy Louie said. "This is one of our favorite places. It's so iconic in San Francisco."
"I'm excited," San Francisco resident Steven Sessions said. "It's closer to my house so I'm happy with that. And someone said it's a lot bigger space too. They have places to sit down which should be nice. It should be good."
MORE: Longtime Bob's Donuts baker critically hurt in SF hit-and-run, police say
The first 80 people got a branded tote bag and rose. And a donut eating contest also drew crowds.
Co-owner Aya Ahn said they're moving because the new spot is bigger, with more seating space.
They also couldn't come to an agreement on a lease at the old location.
The original Bob's had been there since the 1950's.
Now the Ahn family runs it.
Ahn said her mother-in-law, a Korean immigrant, took over the location in the 1970s. Now, they're expanding the business.
MORE: Bi-Rite Market opens 3rd San Francisco location in Russian Hill area
"It's a bigger location, newer, everything makes it more efficient, and that way we can plan and stick around," Ahn said.
Her daughter Rebekah added that "it's definitely bittersweet but we're really excited to be here in this new location."
The Ahns said they sell thousands of donuts a day, constantly making fresh donuts all day long, with them never being more than eight hours old.
The apple fritter is a fan favorite. They also have the classics and some unique ones as well, like some with Fruit Loops and other cereals.
"These are fresh, handmade donuts so good," Sessions said. "You can watch them make. It's so good. It's so good."
The original location will be open a little longer and end up closing. The new location will eventually be open 24 hours a day.