Florida Harley-Davidson dealership property sells for $16.75M

More details about Sonic Automotive’s five-dealership acquisition have emerged, with reports from several news outlets saying one of the properties in Florida sold for $16.75 million.

Space Coast Harley-Davidson in Palm Bay, Florida, was one of five Harley-Davidson dealerships recently acquired by Sonic, a deal Powersports Business reported on April 21. On April 26. TheSpaceCoastRocket.com, reported that records from Brevard County Clerk of Court showed the dealership sold for a record price of $16.75 million.    

The news report also found that Space Coast Harley-Davidson appreciated dramatically under the previous owner SCHD Executive Circle LLC, which originally acquired the property in 2011 from Motorsports of Melbourne for $7.3 million. The $16.75 million Sonic paid in April was $9.46 million more than what it was listed 15 years ago — a 130% increase.

The Space Coast Rocket also found that the $16.75 million price tag included just the real estate itself, and not the dealership business, such as inventory, franchise rights, goodwill, fixtures, and operational assets.

Although this transaction doesn’t involve any consolidation, with Sonic stating that the same team will remain in place, the price for just the parcel alone gives insight into why we might be seeing so many Harley stores consolidating. With a 130% increase in just 15 years, Harley-Davidson property owners can get a huge cash out from selling the real estate and consolidating dealerships.