Rewarding Bad Behavior? Honda Dealer Plans in Texas Raise Eyebrows

rewarding bad behavior honda dealer plans in texas raise eyebrows

You may recall news from earlier this year of All Pro Nissan and its associated dealers, most of whom starred in Episode of the seemingly never-ending series titled “Dealers Behaving Badly.”

At the time, the entities – owned in part by a consortium of former NFL players – were being taken to task by the captive finance arms of Nissan and Hyundai over allegations that parts of the dealer group sold hundreds of vehicles, worth more than $10 million, out of trust and also failed to repay floorplan loans.

So what’s the punishment for these alleged misdeeds? Why, another brand new dealership, of course!

Honda appears to be nonplussed by the allegations lodged by its peers. According to those in the know, the big H seems to be standing by a plan that calls for the opening of a 100,000+ sq.ft store in Grapevine, Texas, for the purpose of selling Accords, Civics, and CR-Vs. Alrighty, then.

From Automotive News:

Grapevine Honda is “the current candidate for this open point,” an American Honda spokeswoman wrote in an email to Automotive News. An evidence of franchise form filed with Texas for Grapevine Honda was signed in September 2017 by Jeff Conrad, senior vice president of American Honda, who has since retired.

Former NFL player Jessie Armstead and auto industry veteran Michael Saporito are working to open this potential store in Grapevine, while already holding stakes in two other Honda dealerships. Those outlets are located in the locales of Hazle and Hamilton Townships.

This, naturally, has sparked an outcry from existing Honda dealers located near to the proposed new outlet. Seeking to stop the dealership license application, a quartet of Texas Honda dealers doing business in places like Fort Worth and Arlington filed protests with the state a year ago, long before the alleged troubles surfaced at All Pro.

Here’s a fun fact with which to hit your gearhead buddies: in Texas, same-brand dealers within a 15-mile radius of a proposed new retail outlet can lodge these protests and seem to do so on grounds that the brand is already well represented in the area. All the protests described here have apparently been dismissed, some through “confidential settlements.” The mind reels with what those terms could include. Given the timeline, these dealers would have registered and subsequently settled the protests before the alleged nefarious All Pro activity was uncovered by the Hyundai and Nissan captive finance arms. One wonders if they would have been as quick to do so if they knew this was coming down the pipe.

Texas-based design firm GFF currently lists the Grapevine Honda project amongst its portfolio of work, where it is described as a 108,000 square foot dealership integrating the image requirements of Honda’s corporate identity program. According to the site, the project is set to begin construction “this year.” I’m besotted by that Honda-badged F-150 in the company’s artist rendering shown at the top of this post, by the way.

A past attempt by Armstead to secure a Toyota franchise in the area never got off the ground.

[Image: Grapevine Honda]

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  • Jessie Louthan Jessie Louthan on Oct 08, 2018

    I've from the Mid-Cities area (where they're proposing building this). I'm sure that Huggins (North Richland Hills) and David McDavid (Irving) are probably not happy about this, but I'm sure that existing Honda owners in the Grapevine-Southlake-Colleyville area will be happy to not have to drive as far to get service. FYI I used to sell cars for Huggins and David McDavid

  • AJ AJ on Oct 09, 2018

    A dealership that I used for sales and service of several cars is owned by a former player. From an inside source, the scum bags in sales run the show … the owner just "has the money and likes to test drive the new cars.”

  • 2ACL Looking forward to the next part. I didn't like the first generation, but the second-generation was on my radar; I like the low-key, yet elegant styling, and the automotive media raved that the road-handling was significantly cleaned up from its nautical predecessor's. I'd still consider one if a replacement event unexpectedly befell my TL, but developments since have made that something of a long shot.
  • Deanst “Switching to EVs will be end of the Dodge brand. Nobody wants EVs.”Tesla, a brand which only sells EVs, is the number 1 luxury vehicle seller in America. But do go on…….
  • Randall Tefft Sundeen Oldsmobile was ALWAYS my favorite GM marque ! I remember as a kid you couldn't walk down the street without tripping on one! In 1977 and 1984 respectively olds sold. Million units, GM's second biggest seller as well as being the test brand for new options (Why take a risk with Cadillac?) The first CLUTCHLESS MANUAL , the first ELECTRIC POWER WINDOWS the first AUTOMATIC not to mention in 1974 the first airbag. Iam fortunate enough to live in a warm climate where old cars are plentiful sadly very few Oldsmobiles. Many features we take for granted were developed by this special brand
  • Conundrum Some parts of the US are in a bad way due to drought and climate change as well, but Posky manages to avoid mentioning Lake Meade, Musk going bananas over no water for his Nevada gigafactory, a few wildfires and floods here and there. No let's have a chuckle over China's experience instead, and chuck in the name Toyota in the headline as a draw. Musk is demanding China ensures his Shanghai factory gets plent 'o power, because that's what spoilt billionaires do. Me, me, me first. Doesn't work when everyone's gasping for breath.Kind of seems to me that avoiding the obvious is the American way. Let's burn some more coal and make things much better! Yeah!Meanwhile, apparently whoever runs this website on a technical basis needs to go back to training school.meanwhileThe way this site "operates", which it mainly doesn't, is a complete farce!Let's have an opinionated article on that.
  • MaintenanceCosts Ok, John Galt.We’re a society, we have to set tax policy as a society, and that requires (and amply justifies) deciding how much tax is “enough.” You can play-act the self-reliant individual, but you’ll cry uncle when you encounter the warlords that actually run any place where society doesn’t exist.
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