• Mar 1, 2009
Just two months after opening the doors to its brand-new, 200,000-square-foot dealership, Superior Toyota/Scion of Oakland is no more. The giant automotive retailer, with more than 40 service bays and as many as 1,200 cars on the lot at a time, closed last week after Nissan pointed at the economy and then pulled Superior's financing (although the dealer sold Toyota and Scion products, Nissan provided the loan for the new $36 million building). Without credit, the Superior Auto Group dealership was unable to do business. "I can't buy any more cars. Can't sell anything. The cars are still on the lot, but Nissan owns them now," said owner Michael Kahn. The megastore in Oakland wasn't the only one to go dark. All told, Superior Auto Group closed nearly a dozen sister dealerships throughout California last week. Thanks for the tip CPT!

[Source: Contra Costa Times]


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  • 50 Comments
      • 5 Years Ago
      Maybe the dealership could take legal action.
      • 5 Years Ago
      I just saw Warren Buffet run into his bunker and yell about recession, I swear.
      • 5 Years Ago
      I still am not seeing any sweet deals on any cars except trucks and SUVs. It's like the auto companies whine about no one buying but they are not doing anything to entice me to drop cash off (I don't need credit).

      With no enticement and no absolute need to buy, in the currently unstable market what are they doing to get either highly credit worthy or cash flush people to part with their coin? Nothing.
      • 5 Years Ago
      What happens to all of the people who worked for these dealerships?
      Seriously, where do salespeople go when nobody's buying anything?
      • 5 Years Ago
      A few days ago a Gmc dealer in north scottsdale closed for the same reason, their flooring was with VW and GMAC would not floor all the cars. I see a record ammount of stores closing in 2009 because of the same thing, not 100% due to a lack of selling cars.

      Jason
      • 5 Years Ago
      The whole of Superior Auto Group went under--which means all of their dealership. The Toyota/Scion dealership is just one of their concerns, they also own a number of Nissan dealerships and a Chrysler one. I believe they might have just secured with Nissan their whole company rather then the dealership itself, and so when they couldn't renew their funding or get additional funding or for whatever reason, they had to close all their dealerships including the Toyota/Scion one.
      • 5 Years Ago
      Wow, so you base your whole business on securing financing from one of your competitors, and then you're surprised when they pull the plug on you? Doh!
        • 5 Years Ago
        @Flashpoint,

        Hey, you can always take a HELOC to pay for that S550 you want delivered to your door, eh?
        • 5 Years Ago
        @flashpoint

        I can think of something else I'd like to delivered to your front door ...
        • 5 Years Ago
        And since Flashpoint forgot to mention it, he drives a Mercedes Benz S550. Maybe his Mercedes dealership will go bankrupt since Mercedes is one of those evil foreigner companies.
        What a hypocrite troll.
        • 5 Years Ago
        I love to see the stories of Japanese automakers FAILING.

        Thank you Autoblog and "TTAC.com.

        These idiot Republicans -who are thenkfully sidelined - did their best to make it appear that the Auto Makers were Failing because "they made cars no one wants" in an attempt to break the backs of the Unions.

        So now. - as we watch the Japanese companies suffer - and forced to bailout their own automakers, perhaps that will change the tune of these "Toyota Republican" morons.
        • 5 Years Ago
        @ JTB

        "Think about it, how many dealerships do you really see with just one make?"

        Uhhh most of the dealerships I see are just one make.... Unless you think Scion and Toyota are different makes.
        • 5 Years Ago
        tekd,

        Nissan's finance arm is in business to make money, not to shut down Toyota dealers. Most likely, the company running this dealer isn't able to keep up with the payments and the credit is shut off. Why else would they want to be stuck with a lot full of Toyotas? They sure as hell aren't going to leave themselves opened up for a lawsuit.

        As far as your comments about a country shutting off all importing/exporting, if the U.S. did so, we'd be fine. We have all the raw materials and food supplies we need (and not just corn), we have oil that has yet to be drilled for, we have the engineering and manufacturing capabilities to be just fine. The only thing we don't have is a sense of national pride that rejects substandard crap from China and takes pride in it's own products. If we didn't start buying all the junk that the Asian countries sent over in the past, our companies wouldn't have all gone out of business (most electronics manufacturers), moved overseas, or dumbed down the product (domestic cars) to compete at the same level of cost per unit that imports did.
        • 5 Years Ago
        This isn't new, you know? Dealerships get loans from an automaker's financing arm to build the dealership, buy new cars, buy used cars, and hire technicians and salesmen. Think about it, how many dealerships do you really see with just one make?
        • 5 Years Ago
        You don't need a dealership to buy a Benz.
        Affluent people can usually simply order one and have it on their front lawn the next day - or a couple days later. I'll survive if a Benz dealerships went under - not that they would when the one I buy from is in ultra-rich Manhattan.

        And as for the auto makers.... The only reason these companies are having problems is because of the credit crisis. If not for the crisis happening RIGHT NOW...The Big 3 would be relatively ok - except for maybe Chrysler.
        • 5 Years Ago
        Is that what you learned on the Daily Show and Daily Kos?

        Grow up kid, it's not a Rep vs Dem thing.

        Most of life isn't.
        • 5 Years Ago
        @Flashpoint
        Affluent people order cars from dealers. Mercedes does not sell direct to customers. I'm sure once delivered its going to need service. Good luck getting warranty claims down at Pep Boys or Express Oil Change.
      • 5 Years Ago
      I agree and disagree with all of you.

      So there.

      Well, except for the Canadian. You guys don't get a vote. You're more of a smug suburb than a real country. So go back to your.....hmmm....well, whatever it is you do in your spare time.
        • 5 Years Ago
        Hockey practice. It's Sunday afternoon. That means hockey practice.

        Seriously.
      • 5 Years Ago
      I'm surprised to see some of the comments and wonder how many of your actually have visited the dealerships of different make but the same group.

      There are Superior Nissan in Puente Hills, Carson and many other places.
      Same to Superior Toyota, there are many of them in different cities.

      So, it's simply as that Superior Group got a loan from Nissan, it's not necessary to be from Toyota and as they have business business with both of them anyway.
      • 5 Years Ago
      So... If Nissan owns them now... Does that mean they're gonna start selling toyotas?
        • 5 Years Ago

        They will first try to sell them in bulk to other Toyo dealers. Any leftovers will be sent to auction and sold.

        If Toyo didn't have such a surplus already sitting at the ports, the Toyo dealers would easily absorb these but's more likely lots will end up at auction.
      • 5 Years Ago
      Doesn't Toyota have enough bank to finance their own dealerships?
      Why let a competitor "help"
      • 5 Years Ago
      What's so funny is that almost ALL of the automakers have approached their governments for Bailouts/loans.

      The Right Wing would let the Big 3 go under - while Japan and Germany and even Swedes are going to give their companies money. FRANCE told Renault "whatever you need".

      Meanwhile our TRAITORS would destroy America's last manufacturing base.

      These scumbags would allow China to come right over here with the Trillion dollars they are sitting on and buy us OUT. They could buy GM, Ford and Chrysler right from under us.
        • 5 Years Ago
        @Alexander,

        Where is the British auto industry? Oh, yeah, sold off to foreign companies after the British government did in the 1970s what we are doing now.

        This isn't new, it has happened before, and the results will be the same again.

        @Flashpoint,

        You need to get a serious clue, and pull your head out of the democrat party's tailpipe.

        This article is about a credit problem, while not completely unrelated to the auto-industry mess, this isn't about the quality of the cars on that dealer's lot.

        This is about corporate paper being available for a dealership to stay in business, and is a harbinger of what is to come for many other businesses.

        The credit problem was CREATED by democrat policies, from Carter to Clinton, to Barney Fwank and Chris Dodd. Obama is screwing around like he's playing doctor on the economy, when he seeminly has no clue how market forces work.

        Bush was WRONG when he said he had to abandon free market principles to save the free market, last sept/october. But Obama is kicking in the afterburner down that same socialist government control over the illusion of private enterprise ownership mentality, and he makes no bones about it. He'll tell you that.
        • 5 Years Ago
        You own a Mercedes. The irony of this situation is not lost on me nor the other readers, I hope.

        Why can't you sell your Mercedes Benz and buy a Ford Taurus or two?
        • 5 Years Ago
        Maybe they should since China is the only country on earth that doesn't owe anyone money because apparently they are only ones who know how to manage money.

        Cry what you want about human rights but you still buy the products. Don't come back with the same tired agrument about low wages and working conditions because you feed into the system every time you buy something made in China. Everyone knocks the them yet almost everything in your home is from China. If it weren't for the Chinese you couldn't buy 50 pairs socks for $5, it would be 5 pairs of socks for $50 because the unions would want $50 an hour and pension for someone, who has a highschool education, to watch the bagging machine.

        I am half Chinese and half pretty much everything else so it disgusts me when someone or even a whole country is discriminated against for no good reason. If your country has failed don't punish others or belittle their countries accomplishments because they are doing better, fix your own country before critizing others.The Xenophobia exhibited in America staggers me. Thank God I live in Canada where the hate of foreigners is almost none existant (no where in the world is there zero intolerance).
        • 5 Years Ago
        @JWQ- If you think Xenophobia is bad in America, take a trip to your beloved China. A half Chinese person is considered a freak there and you would be stared at and pointed at your whole visit. America is a paradise of multiculturism compared to China and other Asian countries where businesses actually have signs on the door "no foreigners allowed".
        • 5 Years Ago
        The Swedish government said from the very beginning: "No, we are not giving you any money".

        They still haven't. Saab is screwed, they have filed for protection now ("Chapter 11").

        Opel is not sorted yet, GM is hoping/dealing. Germany has not given any manufacturers money as far as I know?
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