THE VIRGINIAN-PILOT
Copyright (c) 1996, Landmark Communications, Inc.
DATE: Wednesday, June 19, 1996 TAG: 9606190378
SECTION: LOCAL PAGE: B3 EDITION: FINAL
SOURCE: BY STEPHANIE STOUGHTON, STAFF WRITER
DATELINE: CHESAPEAKE LENGTH: 47 lines
The City Council on Tuesday gave Circuit City the green light to build a CarMax, the retailer's mammoth used-car venture, in Chesapeake's Greenbrier section.
Last week, the Planning Commission approved the CarMax site but refused to allow the no-haggle dealership access to North Battlefield Boulevard just below Interstate 64. Several commissioners said the area is too dangerous and awkwardly designed.
Circuit City balked, indicating it would ditch the 25-acre property and look elsewhere.
Tuesday night, the City Council voted 8-1 to approve the retailer's proposal. It agreed to give CarMax an entrance off Battlefield, but shoppers will have to leave the car lot by using Tintern Street, which connects to Volvo Parkway.
``It's not an improvement to Battlefield Boulevard,'' said John A. O'Connor, the city's public works director. But, ``we feel it's a reasonable compromise, and we feel it will work.''
O'Connor and other officials pointed out that CarMax would generate much less traffic than a shopping center, which had been previously considered for that site.
Officials with Richmond-based Circuit City Stores Inc. told the council that CarMax would bring the city more than $700,000 in annual taxes and more than 125 jobs - each paying between $25,000 and $30,000.
``That doesn't take into account the ripple effect of CarMax throughout the local economy,'' said Jim Thornton, a Richmond consultant representing Circuit City.
Still, the CarMax entrance could make matters worse for motorists, Councilman John E. Allen said.
``That place is a big problem now, a big problem,'' said Allen, who voted against the Battlefield entrance.
Even with the council's approval, CarMax faces several more hurdles. Because it is adjacent to a major highway interchange, the project must be approved by state and federal transportation officials. In addition, Circuit City also must finish purchasing the property, which is part of an estate.
Circuit City, which traditionally has dealt in consumer electronics and appliances, has been looking to expand its used-car business ever since its first one-price dealership in suburban Richmond became a success.
By 2001, Circuit City said it wants to have 80 to 90 CarMax superstores from Miami to San Francisco. by CNB