Our Story
Capital
Automotive was formed in 1997 as the first company solely focused on
providing highly tailored sale-leaseback capital to the automotive
retail industry. Our creation was a collaboration of automotive
dealers and real estate and financial experts. Since inception,
our Board of Trustees, team of professionals, and solid relationships
throughout the industry have provided us with an in-house level of
expertise unparalleled in the marketplace. We have created the
largest, most diverse portfolio of automotive retail properties in the
world. We are the largest owner of
dealership real estate. We
offer a full array of financial products. With nearly $3.5
billion invested in over 450 automotive franchise facilities, and over
16.1 million square feet of buildings on over 2,700 acres in 36
states, we are the leading specialty finance company focused
solely on automotive real estate. By listening to our
clients and prospects, we continue to add new products that will enable
us to further increase our market share and better serve the auto retail
industry.
Our Strategy
Meeting the Capital Needs of Auto Dealers
There are a number of significant trends impacting the
automotive retail industry. Some of these include: consolidation; larger, more profitable dealer
groups;
publicly-traded dealer groups; and the growth of automotive retail on the
internet. Capital Automotive's business strategy was formulated to meet the
changing needs of the automotive retail industry and to meet the growing capital
requirements of automotive dealers.
Sale-Leaseback Transaction Value Capital without
Loss of Operating Control
Dealers frequently use the capital received from transactions
for acquisitions, operations expansion, and to fund new lines of business.
Dealers also achieve the flexibility to pursue other personal goals such as
estate planning, liquidity, or diversification. Capital Automotive has become a viable alternative for many dealer groups considering selling their
operations to public companies. Dealers may maximize their proceeds by
bifurcating the sale of their operations and real estate.
Capital Automotive's attractive sale-leaseback program
enables dealers to monetize 100% of the equity in their real estate
while maintaining operating control of their facilities. We offer
fixed and variable rate leases, as well as mortgage loans, giving large
dealer groups the flexibility needed to meet their financial goals.
We also have a robust facility improvement and construction lending
program, enabling dealers to perform necessary expansions and facility
enhancements. This program not only provides dealers with the
capital to improve their facilities and returns, but continually
enhances our real estate portfolio and further aligns us with all
constituents in the industry. We also provide our clients
with the flexibility to substitute new properties in exchange for those
in our existing portfolio. This enables dealer groups to sell
operations that may not be meeting desired return hurdles.
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