Alameda’s Good Chevrolet closed their doors yesterday.
Apparently, the Chevy’s Financing Company demanded that they pay down their inventory on Monday (rumored to be close to $2 million) and the Owner John Buono said “enough’s enough” and shut the doors.
Though rumors have been floating around that Good Chevrolet would probably leaving in the next few years, The move appears to have caught everyone by complete surprise. As one of the Top Ten sales tax generators in the city this adds more the the city’s continuing economic woes.
Update: Thanks to Mike McMahon for this link about the Auto Dealer Credit Crisis;
There could be 300 to 400 fewer auto dealerships in America by the end of the year, predicted Paul Taylor, an economist with the National Automobile Dealers Association. In an ordinary year of economic growth, the industry adds 75 to 150 dealers, he said.
High gas prices that have turned buyers away from large trucks and SUVs – and all but obliterated Hummer sales – have hurt his business, but Fitzpatrick thinks tight credit is doing even more damage.