Chain buys Don Folk Chev

Photo: Google Street View

One of the oldest dealerships in Kelowna is about to be sold.

AutoCanada, the largest public dealer group in Canada, has obtained approval from General Motors Canada to purchase Don Folk Chevrolet.

The terms of the sale have not been released.

Under terms of the agreement, AutoCanada will purchase 80 per cent of non-voting equity interest in the assets of the dealership. Pat Priestner, executive chair of AutoCanada, and other senior managers will purchase a 20 per cent equity interest.

Priestner will hold 100 per cent voting control of the dealership and will serve as dealer/operator.

The dealership began operating in 1945. Don Folk joined the company in 1971 and grew the dealership from 22 employees to more than 70 full-time staff.

The dealership includes a 15-vehicle showroom, 14 service bays and six detail bays.

Last year, the busy dealership sold 452 new and 304 used vehicles.

The sale also includes assets of Don Folk Autobody, a standalone autobody shop located next to the dealership.

"We are delighted to welcome the Don Folk Chevrolet team to the AutoCanada family," said Priestner.

"We look forward to building on the tradition of great service under the leadership of Mr. Folk and ensuring that Don Folk Chevrolet continues with a strong presence in Kelowna. We would also like to thank General Motors of Canada for their continued support."

The acquisition is subject to several closing conditions. The deal is expected to close sometime next month.

AutoCanada currently operates 49 dealerships in eight provinces across the country.