Sunday, June 26, 2005

Baby, You Can Drive My Car (Business Away)

Another story from the IJ report:
In 1998, the City of Merriam condemned William Gross's property, which he leased to a used car dealership, so that Gross's neighbor, a BMW dealership, could expand.246 The City sold Gross's property to Baron's BMW for the same price it paid Gross and gave Baron's $1.2 million in tax-increment financing to build a new BMW dealership and add a Volkswagen dealership. The Merriam City Council said the project served the public interest because the City would make $500,000 per year in sales tax revenues from the BMW and Volkswagen dealerships.
What happens when a Porsche dealership wants the BMW lot?

No property is safe. This is a crisis.