GRADING BEGUN FOR AUTO DEALERSHIP ON U.S. 460

                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: SATURDAY, February 13, 1993                   TAG: 9302130066
SECTION: CURRENT                    PAGE: NRV-1   EDITION: NEW RIVER VALLEY 
SOURCE: MADELYN ROSENBERG STAFF WRITER
DATELINE: CHRISTIANSBURG                                LENGTH: Medium
GRADING BEGUN FOR AUTO DEALERSHIP ON U.S. 460
A construction crew has started grading on a piece of land along U.S. 460 that likely will become an automotive market place this spring.
Gary Duncan, who with his family owns eight dealerships from Pulaski to Rocky Mount, said he and his father bought the land in the hopes of eventually putting a Honda or Lincoln-Mercury dealership there.
"Basically, we bought that property as an investment," he said.
But before he commits to a full-fledged dealership, he wants to try something he calls an "automall" in that spot - about 300 or 400 cars, many of them used, with a bottom-line price tag on each one.
There won't be as much overhead as with a dealership, he said.
Duncan is hesitant to talk too much about his plans for the 15 acres between the New River Valley Mall and Roselawn Memory Gardens.
Though his used car sales at the mall last year were productive, he wants to make sure of how he'll do in the new location before committing.
And he's not sure how the economy or a new by-pass from Virginia Tech to Interstate 81 would affect his business.
Meanwhile, since he bought the property in November Duncan has been receiving offers on the land.
The Duncans bought the property for $775,000, according to a deed filed in the Montgomery County Courthouse.
"If someone needs the property a lot worse than we do, we may end up selling," Duncan said.
But for now, the plans go forward. He expects to open the marketplace in April.
"We're just experimenting, you might say."
Duncan said he will try to do a high-volume business, selling cars, trucks and vans at anywhere from $300 to $30,000.
The one-price concept will mean a different type of car salesman with no dickering, he said. "They'll be more like presenters. The price will be on the car."
The automotive industry went through a bad slump during the recession, but Duncan said his businesses came through OK.
He sold more used cars and cars that had been leased to rental places than anything else.
New car sales were hurt, he said, "but that's turning. We seem to be gaining ground."
The worst part of the slump was the fall of 1990 to the spring 1991, he said. "Since then, it hasn't gotten any worse."

by Archana Subramaniam by CNB