It's official, folks. Motor Village LA, the posh dealership in downtown Los Angeles that Chrysler opened in California to serve as a showcase buying experience and test bed for innovative new Chrysler, Dodge, Ram, Jeep and Fiat stores, has been sold.

New Century Automotive Group reportedly purchased the dealership from Chrysler in late October, 2011. Automotive News reports that two new dealer franchises licenses were awarded in the process, one for Motor Village LA and one for Fiat of LA.

Apparently, despite the fact that the 189,000-square foot building and showcase glass tower is now in the hands of a separate entity, Chrysler still has to negotiate a settlement with the California Department of Motor Vehicles and the California New Car Dealers Association for opening a store within 10 miles of three other Chrysler dealerships, which is in violation of franchise laws.


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    • 1 Second Ago
  • 8 Comments
      Mazdarocks
      • 3 Years Ago
      Apple can sell their products in their own stores, why should the car industry be different?
        thedriveatfive
        • 3 Years Ago
        @Mazdarocks
        California so logic need not apply.
          dreadcthulhu01
          • 3 Years Ago
          @thedriveatfive
          Its more than California, most states have laws like this. In Texas, for example, car makers can't own dealerships or sell directly to consumers period. The reason is that car dealerships have been particularly effective at lobbying states to pass laws that favor them.
      Noz
      • 3 Years Ago
      Good for FIAT....they need to whatever they possibly can to distance themselves from that POS brand Chrysler.
      Jason Allen
      • 3 Years Ago
      The reason this is a law is actually easy to understand. Manufacturers don't really want to sell their cars, that's why they have these partnerships/dealerships. It works for both sides and it doesn't mean consumers always get screwed in the process, that is the fault of the individuals involved (occasionally whole dealerships). What is illeagal is that they are too close and competing unfairly with people they have already agreed to have as official dealerships. The manufacturer owned place can sell cars cheaper (from this one place) than the nearby dealerships and that is plainly unfair to those 3 places. You can tell that Chrysler doesn't want to sell their own cars or there would be hundreds, or more, of these places around. I can't believe how stupid the Chrysler officials were to do this in the first place. I'd levy a large punitive damage award against Chrysler to make clear to them (and other manufacturers) that they must continue to obey contracts they've already signed! It is simple; Chrysler agreed to this in the first place! The LAW is doing nothing but enforcing the agreements they made. Come on, you guys should be smart enough to understand this! I'm sorry to sound so professorial and to lecture but I apparently know more than all of you. ;)
        ernie.
        • 3 Years Ago
        @Jason Allen
        I don't think anyone is arguing that it's a law. I'm personally more confounded by the fact that such a ridiculous law even exists. You don't hear Best Buy whining when Apple opens a store in the same mall, if the prices are the same then people will start shopping where the service is the best.
          Jason Allen
          • 3 Years Ago
          @ernie.
          The rules/laws involved with DEALERSHIPS/FRANCHISES are what this about so it's not at all like bestbuy with apple. The manuf. agrees to this stipulation in the first place! That's why they were screwed to begin with. I like the idea of a single dispensery for cars direct from the builder but the way dealerships work won't allow for it yet. I'm excited to see how Tesla is going to work. I'll be putting deposit down for the models early next year and I'll gladly report my experience. My only new car purchase recently was my scion xB and ther is no dickering and deal making. I have no real bias one way or another. If I get screwed around with I will always remember, I won't lie to make tesla sound better than they are. They own all the dealerships so far as I know so the system is starting out tilted from the regular relationships that have caused this mess the article is about.
      Kumar
      • 3 Years Ago
      There should be a company owned store in every state where you should be able to accept delivery of your vehicle for no delivery charge....