February 25, 2009
Superior Toyota in Oakland, and Superior Nissan in Fremont have closed effectively immediately. Superior Toyota had just opened two months ago and claimed to be Northern California’s largest Toyota dealership. The dealership was just built at a cost of some $35 million! Superior Nissan on Fremont -part of the same dealership group – is also closing. That dealership is located at 43690 Auto Mall Parkway in Fremont.
Dealerships are under immense pressure right now as capital is tight and sales are slow. Ultimately what led the Superior Group to announce the closings was financing, where banks are said to be demanding dealerships pay down inventory at a rate of 10% per month in some cases.
In addition to these pressures, many manufacturers have ceased leasing programs as residual values have fallen so dramatically that it is no longer sensible to provide leasing programs to customers.
- Fitzpatrick Chevrolet Hummer in Concord to Close Next Month
- 4 More Bay Area Dealerships Close
- GM, Chrysler To Slash Dealers By 2,000
- Toyota Announces Decision to Shut Down Fremont NUMMI Plant
- Chrysler to Cut 800 Dealers