|madaise / Flickr / Creative Commons|
On Tuesday, Feb. 24, Kahn closed five dealerships--three Nissan stores in the Los Angeles area, one in Fremont, Calif., and a Toyota store in Oakland, Calif.--after Nissan Motor Acceptance Corp. cut off floorplanning. Three hundred employees were terminated.
company closed a Chrysler-Jeep-Dodge store in the Los Angeles area in
early February. In December, Kahn sold a Toyota store in San Juan
The strip of car dealerships along Camino Capistrano in San Juan Capistrano--where Kahn's Toyota dealership was--has been undergoing a few changes, with dealerships closing, changing ownership and switching brands. It's the local fallout of the nationwide automobile slump, and it's not a good sign for city governments. SJC, where dealership sales taxes recently accounted for 43 percent of the city's sales-tax revenue, is especially feeling the hurt. How much hurt? Two words: no float.