San Jose car dealer buys parcels along Capitol Expressway

Del Grande Dealership Group expands footprint behind auto mall

Del Grande Dealer Group ceo Jeremy Beaver and an overhead map of the lot behind the Capitol Expressway Auto Mall at 909 Capitol Expressway Auto Mall, San Jose (Google Maps, LinkedIn, Getty)
Del Grande Dealer Group ceo Jeremy Beaver and an overhead map of the lot behind the Capitol Expressway Auto Mall at 909 Capitol Expressway Auto Mall, San Jose (Google Maps, LinkedIn, Getty)

 

A South San Jose car dealer has paid $6 million to gobble up a nearby parking lot, adding to its expanding footprint along the Capitol Expressway.

An affiliate of Del Grande Dealership Group bought the 2.3-acre surface parking lot behind its various dealerships at the Capitol Expressway Auto Mall at 909 Capitol Expressway Auto Mall, the San Jose Mercury News reported.

The seller was an affiliate of Kleinman Holdings, based in Saratoga.

The parking lot is next to the Capitol Volkswagen and Capitol Buick GMC auto dealerships, not far from the Capitol Chevrolet and Capitol Ford dealerships.

Del Grande Dealership Group, led by CEO Jeremy Beaver, operates all four auto retail businesses at the auto mall between the East Capitol Expressway and Foxworthy Avenue. It claims to be the largest family-owned automotive group in the Bay Area.

After its most recent deal, Del Grande now owns a contiguous stretch of parcels behind its dealerships on Capitol Expressway, Santa Clara County records show.

Sign Up for the undefined Newsletter

In March, a Del Grande affiliate paid $15 million for a 3.1-acre site next to the just-bought property. The 3.1-acre parcel is located at a T-intersection where Hillsdale Avenue, Pearl Avenue and Foxworthy Avenue meet.

The Del Grande group already owns, through prior purchases, the land and buildings for the Capitol Volkswagen, Capitol Buick GMC and Capitol Chevrolet lots, county documents show.

Miki Correa, a senior director with Cushman & Wakefield, a commercial real estate firm, arranged both Del Grande Dealership Group purchases completed this year.

“DGDG was pretty motivated to buy these two properties,” Correa told the Mercury News. “They now control a large site in the auto mall area.”

Del Grande is leasing the Capitol Ford building from a Kleinman Holdings affiliate. At one point, the Kleinman affiliate considered selling the Capitol Ford property, but later scrubbed the sale.

— Dana Bartholomew

Read more

Harrison Street Real Estate's Christopher Merrill and PMB Mark Toothacre with rending of 1410 South Bascom Avenue (Harrison Street Real Estate Capital, PMB, WRNS Studio)
Commercial
San Francisco
Triangular lot to host medical office building in San Jose
Prometheus Real Estate Group CEO Jaclyn Safier and McClellan Terrace at 7954 McClellan Road in Cupertino (Prometheus, ApartmentFinder, Getty Images)
Commercial
San Francisco
Two apartment complexes in South Bay fetch $105M