Tag: carsoncitytoyota

The opening date for the new Carson City Toyota dealership is here. Construction is all done on the building and the parking lot, and signs went up a couple of weeks ago that March 15th was the day. This weekend staff moved all the cars from the old dealership a mile down the road to the new one. Everything looks like it is ready for the first day of business.

The cyclists couldn't care less.

Now the old dealership looks very desolate. I'm sure they won't abandon it, though, and that Dick Campagni has plans for it in the future.

I pass by the new auto dealerships on South Carson Street every day, but it's tricky to pull over and get a good photo of them. The construction on both has come quite a long way since my last report, and I'd say that both of them will be ready to open this spring.

The new Dick Campagni Toyota is fronted by an impressive white wall, which completely lights up at night. Quite a centerpiece, and a way to get attention from people driving by.

Construction on the Toyota dealership started first, so it is further along. Already the light poles in the parking lot have gone up, and only a little bit of work on the exterior remains.

Space up front has been set aside to display the latest models, where everyone can get a good look at them.

A little ways to the south is the new Michael Hohl dealership. This is actually two dealerships in one, with two completely separate buildings and parking lots. First is the Honda dealership.

And right next door is Michael Hohl Subaru.

These two dealerships aren't quite as visually striking as Toyota, but I doubt people make too many buying decisions based on what the dealership looks like. What surprises me is that Michael Hohl would build brand-new dealerships for the Honda and Subaru lines, but keep GMC and Chevrolet in the old facilities at Koontz and Carson. It was strange enough when they closed the old Valley Chevrolet at the north end of town and consolidated everything into the South Carson dealership. Now to give the shiny new stores over to Honda and Subaru, while Chevy is stuck in the old place. Looks like they're putting more faith in the imports in the coming decade.

A lot of people have been calling this "auto row", because so many car dealerships are squeezed into one stretch of highway. But I wonder if all the car dealers wouldn't have been better off with going through with the plans to build a big consolidated auto mall in Douglas County like they had been planning a few years ago. When the final phase of the freeway is done, in 4 or 5 or 10 years, this stretch of road will be bypassed. But I guess car sales aren't like fast food; they don't need to be close to a freeway to attract out-of-towners. As long as the locals know where to shop for a new car, they'll be okay.

And who was going to turn down millions of dollars in redevelopment money from the city to build in Carson? That's throwing away free money. And to hear City Hall talk, the sales taxes from these dealerships are the only thing keeping Carson City solvent.

Now all we need in Carson is a Tesla dealer.

Some of the biggest construction projects in town right now are the two new car dealerships being built along South Carson. Both the Dick Campagni Toyota and the Michael Hohl Subaru broke ground earlier this year, and are racing against the winter to get as much work done as they can before the snows hit. Dick Campagni had a head start of a couple of months, so they're in better shape. The parking lot is completely paved already, and the roof is on the building. Work has even started on the stucco exterior.

Michael Hohl, however, is still working with cinder block and steel, surround by a sea of dirt. Their construction site is bigger too, and they're putting up two buildings instead of just one.

Both of these dealerships are scheduled to open next year.

The summer construction season is fully underway. Here's a look at some of the big projects down that way:

Auto Dealerships

The "Auto Row" dream is finally coming true, apparently, with two new car dealership being built on some of the last empty land along South Carson Street. Dick Campagni is building a new Toyota dealership, and it has gone vertical in a big way.

Just down the street, Michael Hohl Subaru is still doing foundation work, but there should be something visible on the site soon.

Auto dealership construction I suppose would be easier than most development, because it just consists of a smallish building and a really big parking lot.

Southgate Mall

I guess the best time to renovate your strip mall is when you have no tenants to disrupt. Southgate Mall is having its facades rebuilt, and only the GNC Nutrition store is open for business. Every thing else is empty, just like retail spaces all over town.

Carson Lanes

The Carson Lanes bowling alley is coming along very nicely with their project to rip out one third of their lanes and replace them with retail and office space. Every rumor I've heard says a Johnny Rockets restaurant is going in this space. I can't wait!

Terrible Herbst

And finally, the new Chevron Gas and Terrible's convenience store is being built next to the Carson-Tahoe Quail shopping center. This brand-new center still only has one tenant, but I did see a work crew in one of the interiors so maybe there will be a second tenant soon. At least there will be another gas station in South Carson. The only gas south of Fairview currently is a single Arco station, plus Costco.

This photo shows progress on the new Carson City Toyota dealership. Near the back of the property the foundation for the building is coming together. Concrete and rebar are in the ground, so we should see it going vertical pretty soon now. Looks like the building is shaping up to be pretty big.

So the economy is in the tank, auto makers are struggling like they've never struggled before, product lines are being pulled, and local dealerships are being cut loose from the national brands. So what should Carson City Toyota do to get through these lean times? Tighten their belts? Cut costs to weather the storm? Or spend millions of dollars to build a new dealership less than a mile from their current one?

If you're Dick Campagni, you choose door #3. Carson City Toyota is going ahead with the plans that have been in the works for years now to build a new state of the art dealership on South Carson Street. They're not letting the problems in the economy dampen their spirits at all towards the project. Of course I'm sure it helps that Carson City Redevelopment is chipping in $4 million towards the project; basically a low-interest construction loan from the city.

Now this week ground has broken on the new facility. Bulldozers are on site, and in just a couple of days they've already cleared off most of the sagebrush from the site. So we're at the point now where they're Actually Doing It, not just Endlessly Talking About It. This is definitely a good boost for local construction companies. Dick Campagni just needs to hope his Toyota franchise isn't pulled before the new dealership opens in January.

So Carson City may be in some of the worst financial straits in recent memory, but at least they're keeping their promises. Too bad those promises only benefit a few, at the expense of everyone else, including the city itself.

If we roll back the clock a few years we'll see a time where things weren't looking good for Carson City. A new Target and Home Depot had just opened in Douglas County, and the city's only Wal*Mart had also jumped over the county line. All the city's sales tax, which they relied on for most of the budget, was leaving town. And then came word that the city's car dealers were buying up land in Douglas County, with the intent of teaming up to build a regional auto mall. An auto mall that would be outside of Carson City and sap even more tax revenue.

So the city panicked and started making deals, giving money away to keep existing businesses in town and attract new ones. Two of these deals have already come to life, incentive deals to bring Burlington Coat Factory and Sportsman's Warehouse to town. That cost the city $2 million each. And now a third deal is coming due, right when the city can afford it least.

During the panic about the auto dealers leaving town, the city approached Dick Campagni, who owns the Toyota and Ford dealerships, with an offer: We'll give you cash to stay in town. They offered a $3.6 million bribe, which he accepted, because duh, and used the money to buy land on South Carson Street for a new dealership. Signs went up on the land, then came down, and now they're back up again.

And now that the city is millions of dollars in the hole, they're still honoring the deal with Dick Campagni. In fact, they just extended the deadline for him to start working on the new dealership. The city, I'm sure, can justify this by saying that they're spending money now to keep the sales taxes flowing. Part of the deal is that Dick Campagni can't move his dealerships out of town for 20 years. But you have to wonder if that money couldn't be better used elsewhere. And you also have to wonder if building a new dealership in this climate is the best move for Dick Campagni.

Well, if everything goes to plan, ground will be broken here in March for a new car dealership. And the residents of Carson City will all have a hand in it.