Just Listed brings you the latest news and information from the Twin Cities-area commercial and residential real estate market and beyond from veteran reporters Jim Buchta and Janet Moore.

Borton Volvo to close its south Minneapolis dealership, expand its operations in Golden Valley

Posted by: Jim Buchta under Buying Updated: May 9, 2014 - 11:40 AM
In this 2012 photo, Kjell Bergh, chairman of Borton Volvo, stands aside a Fisker Karma, a hybrid luxury sports car. Photo by Joey McLeister

In this 2012 photo, Kjell Bergh, chairman of Borton Volvo, stands aside a Fisker Karma, a hybrid luxury sports car. Photo by Joey McLeister

Kjell Bergh said today that his dealership in South Minneapolis will be replaced by a larger Walgreens and that he'll dramatically expand his operations in Golden Valley.

"My understanding is that they’re planning to work with the existing dealership structure and turn that shell into a fabulous new store," said Bergh, noting that he had considered expanding his operations at the south Minneapolis location, but decided not to because new zoning ordinances and insufficient land availability made expansion of those facilities at 54th and Lyndale Avenue South difficult.

He also considered opening a third suburban location, but instead decided to consolidate and expand operations at its dealership next to Menard's in Golden Valley. Those changes will include a 10,000 square-foot parts and service expansion in a building adjacent to the existing Golden Valley facility, and service capacity will double.

The move is expcted to be completed by mid-June and is consistent with a broader effort by the company to reduce the number of dealerships that compete with one another. Volvo is in the midst of an $11 billion overhaul of its worldwide operations. “We wanted to show our total commitment to Volvo by creating this new five-acre campus," said Bergh.

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