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Pentagon axes one of two Car Shops

Pentagon Group is to close one of its two Car Shops selling used stock and will rebrand the site at Chadderton, near Oldham, over the next few weeks as part of its commercial vehicle division.

The group says it was the largest Vauxhall commercial vehicle retailer in 2007.

James Reeve, marketing director, said: “We opened the Car Shop there last year but it was a poor location and difficult to find.

Also, there has been a downturn in the economy and there was no customer database, as this was merged with our Oldham Vauxhall site.”

Reeve said its other Car Shop, at Barnsley, was not under review because it was on course for 1,150-1,250 sales this year.

“It is on a much better site with a clearly defined market and has a Chevrolet franchise and commercial vehicle sales with it,” he said.

Pentagon was listed at 23 in June AM100 as Reeve (Derby), with a turnover of £343 million.

James Reeve is the son of managing director Trevor Reeve.

The group expects a turnover of around £400 million this year from a combination of car, light commercial and heavy commercial sales.

James Reeve says used car sales will total around £69 million and new and used commercial vehicles about £32 million.

The group’s car franchises comprise nine Vauxhall, four Chevrolet and one Saab, and a single Vauxhall LCV site.

Pentagon’s existing freehold commercial vehicle centre in Oldham will be used for vehicle and parts storage, distribution and a preparation centre.

At its new, larger location at Chadderton, said Reeve, it would become one of the largest Vauxhall van centres, with six to eight vehicles inside, up to 50 used units outside and an eight-bay workshop. The bodyshop is likely to be developed.

In Sheffield Pentagon will move its Vauxhall and Chevrolet to a new site 200 yards away later in the year.

It was previously an Auto-world Fiat and Alfa Romeo location.

Reeve said: “When we took over a Hartwell dealership we only got a three-year lease because the land is being developed by Tesco. We have to be off the site by November.”

Pentagon has also invested £1 million in a former electricity company site in Sheffield, where next month it opens a commercial vehicle showroom with space for 20 units including conversions.

Around 50 used vehicles will be stocked outside.

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