Española lost its second auto dealership in two months when July 31 Salazar Chrysler, Jeep and Dodge closed its Riverside Drive lot.
Dealership owner Dominic Salazar said the closure was somewhat of a surprise since he had received assurances from the federal government that his dealership would not be closed after Chrysler filed chapter 11 bankruptcy in May and was granted a reprieve by way of the government’s auto bailout.
“We got a letter and they said everything was cool,” he said.
However, only a month after he was told his dealership would be taken care of, Salazar said he received a second letter from Chrysler that pulled his business out from under him. He still doesn’t know what caused the decision to close his business.
“They wouldn’t give an answer,” he said. “I’ve tried to fight it, I’ve been dealing with this since the beginning of May, but there’s really nothing we can do.”
Last week, Chrysler officials came and removed the titles from the cars on his lot. The titles will be transferred to dealers who have purchased the cars from Salazar, he said.
Chrysler representatives could not be reached for comment, but the process Salazar went through is the same one described in materials made available to dealers in the company’s restructuring web site, and briefly in a letter sent to the company’s dealers dated April 30. The site states that nearly 800 dealers will no longer be permitted to sell new Chrysler models and the company will assist them in transferring those vehicles to other dealers who will remain authorized to do so. No mention is made in any of the site’s materials about federal financing.
However, that’s Salazar’s story and he’s sticking to it, even to the point of blasting the government in signs outside his now-closed dealership.
“They left our 20 employees and their families without jobs,” he said.
Salazar’s closure follows that of Ed Corley Ford Mercury in May.
C.L. Hunter, the owner of the Corley Ford dealership building, said he is still looking for another dealership to replace Corley, and he remains hopeful.
Currently, he is only looking, which leaves Henry Valencia Motors as the only place in town to buy a new car. That is likely to remain true, said the dealership’s General Manager Ted Cover.
“This dealership is in good shape and we have a good standing with General Motors,” he said. “We made the cut the first time, and I don’t anticipate it’ll be any different the second.”
While Hunter is trying to attract a new car dealership, Salazar is going to open a new one — in Albuquerque. Salazar only owns part of the property where his dealership was located. The rest belongs to Santa Clara Pueblo, and he cannot afford to lease that land without his business.
Salazar bought his dealership three years ago from the Zangara family. The nearest dealership for local Chrylser, Dodge and Jeep owners and prospective owners is Lithia Chrysler Jeep Dodge of Santa Fe on Cerrillos Road.