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Stacking cars up to the sky

October 27, 2005|By By Vince Lovato

Brand Boulevard dealership plans complex as trends in renovation along the main drag continue.DOWNTOWN GLENDALE -- It has the amenities of a five-star hotel: a Starbucks, plasma TVs, free internet access, a boutique, ATM, elevators and enclosed parking.

Nothing is spared for the "guests" at Lexus of Glendale, one of several dealerships on the landmark Brand Boulevard of Cars that are investing millions to upgrade their facilities.

Lexus completed its new 225,000-square-foot facility at 1221 S. Brand Blvd. about a year ago and despite the costs, it has been worth it in many ways, General Manager Johnny Harrison said.

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Sales increased by 40% over the previous year and its 140 employees can park their cars on-site, easing the parking congestion in the heavily retail south side of the city.

"The old saying, 'if you build it, they will come' -- it's true," Harrison said.

New Century Volkswagen recently completed a major project, Pacific BMW is under construction and Glendale Infiniti, Glendale Nissan, Glendale Toyota and Calstar Motors submitted proposals to the city for major renovations, said Dave Ahern, the city's economic development manager.

Lexus' first floor covers more than an acre and guests are offered fresh fruit, bottled water and soft drinks, Harrison said.

"They can take delivery of their cars indoors and away from the elements," Harrison said.

Although auto sales across the industry are flat, Harrison said Baby Boomers are buying the high-line cars sales and he expects that trend to go on for at least a decade.

"Baby Boomers are getting older and they have more money," Harrison said. "They are at their peak spending period and they are looking for luxury vehicles -- something not everybody can have -- and that qualification depends on the price tag."

The renovations reflect a commitment by the dealerships to Glendale for the long term, he said.

"The Glendale area is very strong here, has been strong and, according to manufacturers as whole, it will continue to be strong," Harrison said. "Facilities are everything for the guests and we feel Glendale will continue to be strong for years and years and the facility has to do with what manufacturers and our guests demand."

Brand Boulevard of Cars features 16 dealerships and some of them have been here for 75 years, said Philip Lanzafame, the city's director of Development Services.

Collectively the dealerships generate about $5 million in retail sales tax for the city annually. The dealers employ about 1,500 people and support the creation of ancillary jobs such as lending and leasing companies, Lanzafame said.

"I think they have found that it works there as a complement to each other on the Brand Boulevard of Cars," Lanzafame said. "Other [auto] malls do group together because there is some synergy there. You see that typically with restaurants."

High-rise dealerships are rare but the trend suits the urbanized Glendale marketplace.

"They are trying to incorporate inventory storage so rather than parking on a lot [off-site] they are having cars available on site which requires some kind of structured parking," Lanzafame said. "They are trying to be as efficient as they can with the land. They don't have acres and acres where they can spread out."

* VINCE LOVATO covers business and politics.

He may be reached at

(818) 637-3215

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