The first will be in York early next year, taking Carshock's total number of sites to five. It opened sites in Newcastle and Darlington earlier this year (AM, June 13) and also has sites in Leeds and Gateshead.
By the end of 2004, Carshock aims to have eight sites open in and around the north-east, boosting turnover to £40m. In three years' time, the firm plans to be operating up to 16 sites, with an estimated turnover of more than £80m.
The majority of sites will follow the Carshock blueprint, stocking between 100 and 250 cars on an open site with low-cost buildings acting as offices.
Carshock partner John Valentine says: “Dealers are rolling over – they cannot compete with us on price because of their overheads. We have been able to take advantage of many dealers left in limbo following revisions to block exemption.”
Carshock specialises in small family hatchbacks priced at under £10,000. Typical deals include a Renault Megane Authentique for £8,995 – it normally costs £10,850.
Over the last two years, the group has seen its stock profile change dramatically. Previously, the majority of new cars were sourced from Europe but Carshock now buys direct from carmakers in the UK. It sources nearly-new cars from dealers.
Ex-Caledonia director Mike Porritt founded Carshock in February 2002. He will appear in a reality television show next year called Boss Swap, although the project was cut short after he walked out of the estate agency he'd been sent to run.