REIT buys 23 parcels
McLEAN, Va. - Capital Automotive REIT, the first publicly held automotive real estate trust, signed agreements to acquire the property of 23 dealerships for $98 million. The deals are expected to close by June 30.
The acquisitions: 12
properties from Kelley Automotive Group in Atlanta and Indiana, for
$48 million; eight properties from Roundtree Automotive Group in Shreveport, La., $25 million; one dealership from O'Rielly Motor Co. in Tucson, Ariz., $11.5 million; one dealerhip from Ken Dixon Automotive in Waldorf, Md., $7.3 million; and one dealership from McCluskey Chevrolet in Cincinnati, $6.3 million.
DETROIT - In June, Chevrolet will begin selling 1998 Cavalier sedans that run on both gasoline and compressed natural gas. The option will cost $5,800 above the Cavalier's base price, Chevrolet said. The trunk houses the CNG tank with an equivalent of 6.9 gallons of gasoline stored at a pressure of 3,600 pounds per square inch.
TITUSVILLE, Fla. - Smart Choice Automotive Group Inc., a chain of new- and used-car dealerships, reported a net profit of $1,666,592 in the first quarter, compared with a net loss of $5,455,740 a year ago. Revenue was $38.7 million, compared with $8.4 million in the first quarter of 1997.
100 SEEK APPROVAL
AGOURA HILLS, Calif. - More than 100 dealerships applied for certification in the first five months of the J.D. Power and Associates Certified Retailer Program. Seventy-two are going through the certification process, 26 did not qualify, and 11 have received one-year certification, the Agoura Hills, Calif., research firm said.
HYBRIDS TOO COSTLY
WASHINGTON - Price issues still hamstring the development of hybrid-electric vehicles, according to a periodic review by the Partnership for a New Generation of Vehicles, which is funded by the federal government and the Big 3.
The National Research Council, which conducted the audit, says that the purchase and maintenance of hybrids could offset fuel savings, and that development should continue on cheaper alternatives, such as direct-injection gasoline and diesel engines.
Last year the PNGV selected hybrids as one of four technologies to pursue in meeting the goal of an 80-mpg car.