Author Topic: Last domestic car dealership in S.F. closes  (Read 1127 times)

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TrailsLessTaken

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Last domestic car dealership in S.F. closes
« on: May 11, 2011, 01:26:09 PM »
http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2011/05/09/BUA31JDR5T.DTL#ixzz1M4PzWhlL

Last domestic car dealership in S.F. closes
Add this to the list of San Francisco's distinguishing features: It does not have a single U.S. new car dealership within its 47.6 square miles.

The last one bit the dust 10 days ago, when San Francisco Ford Lincoln Mercury, on Van Ness Avenue's Auto Row, shut its doors without warning or explanation.

"We're referring people to Serramonte and other dealers in the Bay Area," said Roger Bramble, a service department manager, who along with about 50 other employees will be out of a job when the remaining servicing and repair jobs are done.

From what we can gather, the dealership, Ford's only one in San Francisco after S&C Ford in the Castro closed in 2008, had been on the block for some time. Ford had taken control of the dealership three years ago, when the original franchisee handed back the keys.

The owner of Journey Ford Lincoln in Novato, Ali Omoomy, had been looking to take it over, but walked away a couple of months ago, I was told. Other interested buyers subsequently faded away, prompting Ford finally to cut bait.

Referring to the "very tough decision" to close the dealership, Ford Lincoln Mercury President Mel Turner, said, in a statement, "We are proud to have served the San Francisco community and will be focusing over the coming weeks on helping employees through this transition and ensuring our current customer commitments are met."

Omoomy did not return calls for comment.

No domestics please, this is San Francisco!: The closing did not come as a surprise to Mike Hollywood, a sales manager at the former Ellis Brooks Chevrolet at Bush and Van Ness, which got out of the American new car business 2 1/2 years ago.

"People in San Francisco just weren't buying Cadillac Escalades. You can't even park them in the parking structures here," he said.

Neither, it seems, are they buying Ford Fusions in any quantity.

"It's a tough market. Imports have a much bigger share in San Francisco," said Dennis Fitzpatrick, owner of Concord Chevrolet and regional vice president of the California New Car Dealers Association. "When you can sell 100 imports a month as opposed to 25 domestic, and what with the rents and real estate, it's tough to make a U.S. car dealership pencil."

It's a different story a few blocks down on Van Ness Avenue and on South Van Ness Avenue, where Audis, Scions, Hondas, VWs and Mazdas are on display. BMW and Mercedes-Benz are close by. Or hop on a 38-Geary bus, nearby the Scion dealership on Van Ness Avenue, to get to the Toyota showroom on Geary Boulevard.

"San Francisco is not loyal to anything domestic; its allegiance is to anything but domestic," Fitzpatrick said. (Oof!)

-- The seven-story, 195,000-square-foot Ellis Brooks Chevrolet, by the way, is being transformed into a flagship Nissan/Infiniti dealership and "will represent one of the largest automobile retailing locations in the United States," according to Nissan North America.

"We believe the facility will help us grow sales across the region and strengthen our competitive position relative to other automakers such as Honda and Toyota," Paula Angelo, a Nissan spokeswoman, told me in March.



Read more: http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2011/05/09/BUA31JDR5T.DTL#ixzz1M4cf7275

Offline neale_rs

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Re: Last domestic car dealership in S.F. closes
« Reply #1 on: May 11, 2011, 01:38:16 PM »
Weird!
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Offline Jeffy

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Re: Last domestic car dealership in S.F. closes
« Reply #2 on: May 11, 2011, 04:31:39 PM »
SF is more about free market and not buying something just because someone says so.  Value and quality are important.  Chevy doesn't make an upscale small car that can compete with Germany or even Japan.

The Fitzpatrick's closed Fitzpatrick Chevrolet in Concord, CA a few years back.  They had owned that dealership for something like 50 years.  They for the longest time were welling Hummers like crazy.  They put their eggs in the short term investment and didn't think about the long term.
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Offline chrisfranklin

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Re: Last domestic car dealership in S.F. closes
« Reply #3 on: May 12, 2011, 02:09:01 PM »
Wouldn't be surprised if a domestic dealer or two gets established anew in the SF area in 3-5+ years.  I'm thinking Chevy and/or Cadillac.  However, if there are no buyers for Chevy Volts (once production really gets underway, 2013-and-on, and decently monthly dealer sales numbers become a possibility), or the Cadillac variation of the Volt, within the SF Bay area, beginning in about that time-frame, then guess this theory could take a :flush:

I will put it this way:  even if there are no Chevy dealerships in SF, you'll still probably have people residing there who will buy Chevy Volts, etc made by GM.  Is this enough to sustain a traditional dealership that has to sell all the models that Chevy produces?  Nah, definitely not now.

SF has the earthquake landscape too.  Probably doesn't cater to owners getting consistently high mpg out of Chevy's V8s (which can actually yield decent mpg on the highways).  Gas prices in SF have got to be near $5.00 a gallon for 87 at gas station also.
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