SAN JOSE — In a significant move within the Bay Area auto dealership landscape, Pedram Amin, a prominent executive, has expanded his business operations by acquiring a prime vehicle sales property in south San Jose. The transaction, which exceeded $15 million, underscores his growing influence in the automotive sector.
Amin, acting through an affiliate, has finalized the purchase of the Capitol Nissan site, strategically located at 1120 Capitol Expressway in San Jose, as confirmed by documentation submitted on November 1 to the Santa Clara County Recorder’s Office.
The real estate purchase, made for a notable sum of $18.5 million, places the property near the bustling intersection of Capitol Expressway and Almaden Expressway, a well-trafficked area known for its automotive retail presence.
The deal reflects a resilient interest from investors in select commercial properties in the South Bay, even as the local office, hotel, and retail markets grapple with mounting challenges. This indicates a nuanced outlook on the automotive real estate sector amid broader economic concerns.
The transaction was facilitated by a Louisiana-based group led by Troy Duhon, as detailed in the property documentation. This indicates a shift in ownership that could impact the operations and offerings of the Capitol Nissan dealership.
Capitol Nissan is strategically positioned at the western end of the bustling Capitol Expressway Auto Row, which extends for approximately a mile and is a key destination for car buyers in the region.
In a similar vein, two years prior, the Capitol Expressway Auto Mall area generated notable buying interest from another automotive retail group eager to expand its presence in the competitive San Jose market.
In 2022, the Del Grande Dealership Group (DGDG) invested $6.1 million to acquire a 2.3-acre site located behind the lineup of dealerships that characterize San Jose’s Capitol Expressway auto mall, further illustrating the area’s appeal to automotive investors.
Amin’s affiliates currently oversee at least two additional auto dealerships in the South Bay, evidencing his established foothold in the market. These include the Hyundai of Gilroy dealership at 6700 Auto Mall Parkway in Gilroy and the Infiniti of San Jose dealership situated at 2198 Tully Road in San Jose.
While Amin’s groups operate these dealerships, they do not own the properties from which the Hyundai and Infiniti dealerships conduct business. This leasing arrangement situates Capitol Nissan USA with a long-term lease for its San Jose dealership site, as indicated by the county records.
The recent transaction signals a general upward trend in real estate values for vehicle dealerships in the vicinity, notwithstanding the adverse conditions affecting other commercial property sectors. As of January 2024, the estimated worth of the three parcels acquired by Amin’s group at 1120 Capitol Expressway was recorded at $9.5 million, as per the Santa Clara County Assessor’s Office. This substantial purchase price reflects a remarkable 94% premium — nearly double — the assessed value of the property.
Originally Published: November 4, 2024 at 11:30 AM PST
**Interview with Pedram Amin, President of INFINITI OF SAN JOSE, on Recent Acquisition of Capitol Nissan**
**Editor:** Thank you for joining us today, Pedram. Congratulations on the recent acquisition of Capitol Nissan in San Jose! Can you tell us a bit about what motivated you to make this investment?
**Pedram Amin:** Thank you for having me. Acquiring Capitol Nissan is a strategic move to enhance our presence in the automotive market of the Bay Area. This location is not only prime real estate but also an established hub for vehicle sales, making it attractive for us to broaden our operations and better serve our customers.
**Editor:** You mentioned the strategic importance of the location. What do you think this acquisition means for the local automotive landscape, especially given the challenges facing other sectors?
**Pedram Amin:** The South Bay area is experiencing a unique dynamic, particularly in the automotive sector. While other markets like retail and hotels may be struggling, there is still robust interest in automotive properties. We believe that this acquisition will not only allow us to solidify our market share but also create more jobs and provide a wider range of services to our community.
**Editor:** The acquisition price was over $18 million. What does this say about the confidence you and your partners have in the automotive market despite broader economic concerns?
**Pedram Amin:** This significant investment reflects our confidence in the demand for vehicles and automotive services in this region. We see a long-term opportunity here. While other markets might be volatile, the automotive sector has shown resilience. We aim to leverage this stability to benefit our customers and partners alike.
**Editor:** What changes or improvements can customers expect at Capitol Nissan post-acquisition?
**Pedram Amin:** We have exciting plans in the works! Customers can look forward to enhanced service offerings, improved facilities, and a broader selection of vehicles. We are committed to elevating the customer experience and integrating innovative solutions that align with current trends in automotive retail.
**Editor:** This deal was facilitated by a Louisiana-based group led by Troy Duhon. How did that partnership come about, and what role will they play moving forward?
**Pedram Amin:** Our collaboration with Troy Duhon’s group was fundamental in navigating this acquisition smoothly. Their expertise in dealership operations and investment strategies complements our vision for Capitol Nissan. Moving forward, we will work closely together to optimize operations and ensure that the dealership reaches its full potential.
**Editor:** Thank you for sharing your insights, Pedram. We look forward to seeing how Capitol Nissan evolves under your leadership!
**Pedram Amin:** Thank you! I appreciate the opportunity to discuss this exciting new chapter in our business.
