CarMax is getting rid of its two remaining franchised dealerships — both Toyota stores — to focus on its core business of selling used vehicles.
Last week, Sheehy Auto Stores of Virginia announced the acquisition of CarMax Laurel Toyota in Maryland. CarMax, the nation's largest used-vehicle retailer, confirmed to Automotive News in an email that it expects to finalize the sale of its other Toyota outlet, in Kenosha, Wis., this year. CarMax said it expects to keep its location in Kenosha to continue selling used vehicles and that the buyer of the Toyota business would operate out of a proposed new dealership.
For CarMax, the exit from the franchised business comes after a quarter-century selling new vehicles. The new-vehicle share of the company's business has dwindled over time, and CarMax's energy is now fully behind the expansion of its used-vehicle business, particularly online.