The Henson Motor Group has unveiled plans to increase turnover from £13 million to £100m and create more than 250 jobs in the next three years.
The Newcastle new and used car retailer intends to take the number of outlets it operates in the North-East from two to six, according to the Northern Echo.
Henson plans to open a car supermarket near the Tyne Tunnel this summer and another site in Teesside before the end of this year. The company intends to open two further sales outlets in the north east by 2010.
The announcement comes soon after the collapse of rival motor dealer CarShock, based in Gateshead, which called in administrators earlier this month.
David Wilson, joint managing director of Henson Motor Group, said: "We own all our premises and our stock, so we are a cash rich company. We have been trading for more than 10 years and haven't grown too big too fast, but now it’s time for us to expand.”
Henson currently employs 40 people on two sites. It has a car supermarket on a 2.5 acre site in Newcastle and a car preparation site in Killingworth, Northumberland.
Wilson said the current £13m turnover figure is expected to increase dramatically.
"When all six sites are up and running, we expect to see turnover grow to around £100m," he said.