Twin Cities Automotive Buys Another Dealership
Twin Cities Automotive (TCA), which operates under the Pohlad Companies umbrella, said Wednesday that it purchased an auto dealership in a deal that closed that same day.
The company bought the dealership—Star West Chevrolet in Delano—from its owner, John Tackaberry. Financial terms of the deal were not disclosed. TCA said that it will retain all employees.
TCA plans to rename the dealership Chevrolet of Delano and remodel it. The dealership’s power sports division, meanwhile, will become a standalone dealership operating as Star West Motorsports—and TCA intends to add new brands to its current mix of motorcycles, ATVs, personal watercraft, and snowmobiles.
Wednesday’s acquisition is the latest in a series of auto dealership purchases that TCA has made. In August, the company said that it had signed a purchase agreement to acquire four dealerships from St. Louis Park-based LeJeune Investment, Inc.—Carousel Audi and Carousel Porsche, both in Golden Valley, and Maplewood Audi and Maplewood Imports. That deal is expected to close by the end of this year.
TCA was formed in 2008 with the acquisition of BMW of Minnetonka. The company now has dealerships in both metro and rural markets and across three categories—domestic, mainstream Asian, and high-end luxury. Other dealerships that it has bought in recent years are Coon Rapids Chrysler Jeep Dodge Ram, Inver Grove Hyundai, St. Cloud Hyundai, and North Branch Chevrolet; TCA broke ground last month on a new facility for North Branch Chevrolet.
In August, TCA Chief Financial Officer Brad Braun told Twin Cities Business that the company has “built an M&A strategy around all types of brands in the Twin Cities area” and said it is “very interested in growing through acquisitions.”
Braun said at the time that TCA is targeting dealerships within about 100 miles of the Twin Cities and aims to eventually have 10 to 20 percent of local dealerships in its portfolio.
“Star West Chevrolet has been an important part of Delano for more than 32 years, and we look forward to building on this success and serving the community as Chevrolet of Delano,” TCA President Jay Hulbert said in a statement. “We are pleased to add another excellent Chevrolet dealership to the Twin Cities Automotive family.”
The Pohlad Companies, based in Minneapolis, dates back to the 1950s and is now led by the second generation of the prominent Pohlad family. Its holdings represent a diverse range of industries, including banking, financial services, entertainment, commercial real estate, retail, automotive, and technology. According to its website, it employs more than 3,500 people throughout 40 markets coast to coast. TCA employs 437, including those who work at just-purchased Star West Chevrolet.
Some of the best-known names within the Pohlad Companies’ portfolio include the Minnesota Twins, J.B. Hudson Jewelers, Marquette Financial Companies, Marquette Real Estate Group, United Properties, Cushman & Wakefield/NorthMarq, and RJM Construction.