How do you properly target locally with anchor text?
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I'm trying to figure out the best method for externally linkback anchors to my site for local results.
What would be the best way to do this for some local SERP love:
Cheeseburgers Chicago, IL
Cheeseburgers Chicago
Cheeseburgers Chicago illinois
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As long as it reads natural, just using cheesburgers will probably be enouth. assuming your site has the address on it.
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Well, all three!
Plus Chicago cheeseburgers, Chicago cheese burgers, best cheeseburgers in chicago and a whole bunch more

A variety of "location + keyword" anchor text is a must, getting links from other Chicago sites (both about Chicago and I want to say that sites hosted in Chicago, though I don't know how granular Google takes that and it's not a must), set up a business location in Google local and get reviews (protip: http://www.seomoz.org/blog/one-dead-simple-tactic-for-better-rankings-in-google-local)
Danny did the basics of local seo on this whiteboard Friday - http://www.seomoz.org/blog/the-basics-of-local-seo-whiteboard-friday
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I generally would try to mix them up - keeps your link profile looking more "natural". I would also focus on optimizing for local search (Google Places, etc.), if it's a local business. For many verticals, the Places results take up a LOT of real-estate on the results page.
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Are you talking on-page optimization? is there such thing as an off-site optimizing for local search?
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excellent tool!
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Thanks Barry, great information

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I recommend you reading this article: http://www.davidmihm.com/local-search-ranking-factors.shtml
This is the bible for me in terms of local search.
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Local search is a bit different than universal search and yes, you there are things you can do off-site to optimize the results. This Whiteboard Friday touched on the basics: http://www.seomoz.org/blog/the-basics-of-local-seo-whiteboard-friday.
You may also want to check out the list of Local Ranking Factors on David Mihm's site http://www.davidmihm.com/local-search-ranking-factors.shtml.
Hope this helps!