Driving the news: US Auto Trust has acquired Dallas-based Boardwalk Auto Group, adding Ferrari, Lamborghini, Maserati, Pagani, and Czinger franchises to its luxury-focused portfolio, according to deal advisors at the Presidio Group.
For context: The acquisition expands US Auto Trust to nine luxury franchises, including two Aston Martin stores in San Diego and Newport Beach, California, plus Lotus of San Diego and Cadillac Pasadena.
US Auto Trust founder Ed Glazer (who also owns and co-chairs the Tampa Bay Buccaneers) said the company is "thrilled to bring world-renowned brands such as Ferrari, Lamborghini, and Pagani into the US Auto Trust family."
There are only about 50 Ferrari dealerships in the U.S., and they change hands infrequently.
In June, US Auto Trust sold four Jaguar Land Rover dealerships in the Los Angeles area to Sonic Automotive.
What they're saying: "The Ferrari franchise is the real jewel in the crown of the Boardwalk acquisition," said Gerorge Karolis, CEO of the Presidio Group. "Some make good money, but some don't make a good return. But they are tremendously valuable."
George Karolis
Big picture: As mainstream buyers get priced out and affordability woes squeeze volume brands, wealthy households with access to capital are propping up the high end of the market, making luxury stores an attractive buy in the right markets.
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