car dealer merry go round.

[barryogen]

In the paper it said that Autocourt are looking for a new premesis as they're spending $4mil on their lot to make it into something commercial, probably the new Harvey Norman/Noel Leeming ventrue I keep hearing about opening here soon.

So they are looking for a new car-lot.

I hear that Hyundai are going to Cookies, and Mazda are going to Ford...

Anyone know whats happening with Mazdas old lot? Maybe auto-court are going to move there?

Also I see that Southern motor court have closed their cheap lot too.

Times they are a changing.

[Lloyd]

The industry is slowing. Hyundai are going into Cookes where the Alfa stuff is at the moment, I think that stuff is moving into where the parts department is at present, the parts guys are moving into a part of the Holden workshop (I think) and the workshop is getting a little smaller. Could be wrong though. They definitely have Hyundai and it is going on that back corner though.

[fangsport]

inside word has it that the guy who own Southern Motor Group (Ken Cummings???) and it subsideries, lost $24M in a botched property deal up north ( Blue Chip??).
he is pooling his franchises into less sites in both Dunedin and Invercargill, and cut his staff levels back accordingly.

the number of yards that have shut shop in CH-CH is phenominal, more than 20% of what there were 12 months ago

the industry is in for a real shake-up over the next few years due to:
govt emission/frontal impact rules reducing the the list of vehicles able to be complied,
fry-by-nite finance companies borrowing large sums from well-heeled companies and going tits up,
genuine finance companies losing huge sums of money to shonky car buyers who had no intention of repaying loans,
lack of investment into geniune finance companies due to the bad press of the shonky ones going tits up,
etc, etc,.

a positive side though, i can see repair workshops keeping steady workloads as the public maintain existing vehicles instead of replacing them, but in saying that, there are a few workshops up here that are rattling due to bad payers.

it will be a very interesting 18-24 months for all of us in the game, the guys that own there own yards and stock should survive, but those with disproportionate outgoings will go to the wall, me thinks

[barryogen]

Southern Euro closing 19 december I hear too, all southern motor group staff have to re-apply for their jobs... eek.

[AJz]

wow really

Further autocourt, i was under the impression they were closing up completely, i didnt realise they were moving. Must be wrong tho

[rolla_fxgt]

I heard Cummings is taking it really really hard.

Sucks when it happens so bad with a loss that has nothing to do with the actual business he was running.

[barryogen]

depending on the rumours that're being spread, there is some worrying shit going on.