Business Journal: Car Dealers Going Out Of Business
The Sacramento region is losing car dealers two and a half times faster than the nation.
Tuesday, October 14, 2008
Auto dealers are hurting all over the United States, but they’re having more trouble in Greater Sacramento. In fact, the region’s new-car franchises have disappeared at a rate two-and-a-half times greater than the national average. According to retail consulting firm Urban Science Applications, the number of new-car franchises operating here shrunk by 13.3 percent in four years. That compares to 5 percent nationwide. Since March, the four-county region lost a least a half-dozen dealerships. Industry sources say nationwide factors -- hard to find credit, high gas prices and decline home values -- hit Sacramento harder.