Sci-Fleet, which is usually synonymous with the Toyota portfolio of brands, has taken on Key Motors’ Subaru and Mazda franchises and property in Townsville following the sale by Key’s Adam Carmichael.
The acquisition marks a further step north for Sci-Fleet, which has four franchises – Toyota, Mazda, Isuzu Ute and Hyundai – in Mackay.
In addition to dealerships in other locations around Australia, Sci-Fleet in Queensland also has a further three Toyota new-car outlets in the Brisbane suburbs of Kedron, Albion and Taringa, plus five Lexus outlets and three Hino dealerships close to Brisbane.
Sci-Fleet already has two Mazda franchises at Mackay and at Mount Gravatt in Brisbane but this is its first involvement with Subaru.
Subaru Australia confirmed that Sci-Fleet Motors, under the leadership of CEO Andrew Scifleet, will operate the franchise and said it welcomed the family to its network.
A Subaru spokesman said Sci-Fleet’s long-term investment approach “where they partner with local management in becoming a part of the community, sits well in Townsville”.
“Subaru has among the highest levels of customer loyalty in Australia and the Scifleet family’s business approach is perfectly aligned to this,” he said.
“The Carmichael family has been part of the business fabric of Townsville for more than 30 years.
“Adam Carmichael leaves a legacy of respect from customers and business partners, and Subaru is deeply appreciative of the Carmichael family contribution to its success.”
A Sci-Fleet spokesman told GoAutoNews Premium that the Key Motors assets were of interest to their company because they were “extremely well run, very efficient, profitable and located in a great regional location.
Key Motors’ Adam Carmichael was not available for comment.
In 2013, Adam Carmichael bought about 9000 square metres of land behind the company’s showrooms on Dalrymple Road to commit about $4 million to improve its workshop and parts operations and have more room for vehicles.
Work included upgrading the existing spare parts warehouse, the installation of an automatic car wash machine and wash bays, expanded hardstand areas, and a used-car business.
At the time, Mr Carmichael said: “We have been investing a lot in the dealership over the past five years and if there is any city in the country where I would want to do that, it is Townsville. It has a great broad-based economy.”
Mr Carmichael bought Key Motors from his father, long-time Townsville car dealer and businessman David Carmichael, around 2003.
At the time, the business sold about 75 cars a month and employed about 30 people. That had tripled by 2013 to car sales of around 200 a month and 95 staff.
Mr Carmichael said they began reinvesting in the business at the time of the global financial crisis in 2009. He redeveloped the showrooms and bought surrounding land for a Subaru servicing centre and more storage and washdown areas.
He said that the investment at that time helped build capacity and confidence in the business.
“In some ways, this (investment) is probably the best thing I have done,” Mr Carmichael said.
The Carmichael family has played a fundamental role in the automotive retailing landscape of Townsville for more than 40 years after David Carmichael took over long-standing dealership, McKillop Ford, and changed the name to Carmichael Ford.
Carmichael Ford, which was eventually taken over by Adam’s brother Andrew, celebrated its 40th anniversary in 2017. Andrew Carmichael sold the business to the Q Automotive Group in August last year, along with his Mercedes-Benz franchise.
By Neil Dowling
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