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The dealership
will have a high impact on the economic base of the fast growing city
of Frisco. Stonebriar Chevrolet will initially employ 130 to 140 people
and grow to 250 within a few years. Generally the sales department accounts
for 40 percent of the employees while another 40 percent are in the service
and parts area with the remainder in administration and support.
There is no city sales tax on vehicle sales but the city does benefit
from sales tax on service, parts, taxes on vehicle property tax and real
estate taxes. The property taxes alone would total well over $350,000
per year on the $16 million valuation of the property and approvements,
according to Jim Gandy of the Frisco Economic Development Corporation.
The 100,000 square-foot facility will house a full service automobile
agency with new and used car sales, parts and 54 service bays.
“With all the Chevrolets in Collin County we expect the service
department to be a real benefit to people in the area,” McCutcheon
said.
Ridgmont Construction, following the design of Richard Farrar of the Gensler
architectural firm, will develop the 20-acre site. General Motors bought
the site in the 90s anticipating the boom that would hit Frisco. The build-out
is expected to by 300 days with a September 2004 opening in time for the
new models to be showcased.
“The city of Frisco was very helpful in the process,” said
McCutcheon, “due to the leadership and understanding of the city
staff.” McCutcheon explained that there are many issues in the design
of a dealership where the city requirements and the needs of the business
were in conflict. The city of Frisco worked to satisfy the needs while
still adhering to standards.
“It is evident to me that the rapid growth of Frisco is due to the
tremendous leadership especially the mayor [Mike Simpson] and George Purefoy
[city manager].”
McCutcheon anticipates annual sale of 4,000 new vehicles in the second
year of the agency. Reliable sells more than 4,500 units annually. Reliable,
and all the Van Tuyle agencies, is known for their selection of vehicles
on the lot.
“We carry a lot of inventory and will be able to trade vehicles
between the agencies to satisfy the need,” he said.
McCutcheon said that the Stonebriar location would be supplied with used
cars from the Reliable inventory especially in the early months.
Inventory will not be the only transfer to the new agency. Reliable will
be a training ground for key managers in the months before the new agency
opens to insure they understand the basic philosophy of the company.
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