By Christopher Tan Senior Correspondent
WORK to complete a showroom to house some of the world's fastest cars has slowed to a crawl.
Ital Auto - owned by hotelier Ong Beng Seng's Hyundai agent, Komoco - put pedal to the metal as soon as it was named the new Ferrari agent early last month.
It cleared out its Chrysler, Jeep, Dodge and Harley-Davidson showrooms at Leng Kee Road and began renovating the premises to house models from the Italian supercar marque.
But progress has now stalled, with little or no construction activity going on in recent weeks.
A senior executive, who did not want to be named, said this was because of the "August holidays in Europe".
This, he said, was holding up approval of a design drawing from Ferrari. Like several other car companies, Ferrari usually lays down the specifications for its showrooms around the world.
"The showroom can be ready in three weeks once the drawing is ready," added the executive.
Business in Europe slows down considerably as the summer season winds down there, with many companies taking breaks to let employees enjoy a last bit of sunshine and warm weather before the mercury starts to fall in the autumn.
Most car plants are back in full swing by early September.
Meanwhile, Ital Auto has placed newspaper advertisements in search of new showroom and workshop space as a permanent home for its Ferrari sales and service division.
The advertisements specify that the showroom should be 5,000 sq ft in size and the workshop 15,000 sq ft, with space to park at least 20 cars.
The facility at Leng Kee Road which is now being renovated is expected to be a temporary measure before the new premises are found.
The new Ferrari agent - which took over from long-time representative Hong Seh Motors - is not the only motor company here affected by Europe's summer shutdown.
Audi dealer Premium Automobiles' plan to erect a new integrated complex has yet to get off the ground for a similar reason.
Work on the $52 million Audi Terminal, which straddles Alexandra Road and Leng Kee Road, has not begun either, though the project was announced in March.
Premium Automobiles' owner, Indonesian businessman Hadi Tanaga, had initially expected construction to begin sometime in June or July.
"We are still waiting for approval from Audi on the drawings," Mr Tanaga told The Straits Times, indicating that the summer break was responsible.
"We hope to get it soon and we can start calling tenders, and hopefully work can start in October."
The site's proximity to an MRT track has posed some restrictions with regard to the building's design, and Premium Automobiles is now deciding on the best ways to optimise the development.
The new complex is expected to support annual sales of around 2,500 cars, double the current volume.
Last year, Premium Automobiles sold over 1,300 Audis, up from 957 in 2007. In the first half of this year, it sold 672 cars.
christan@sph.com.sg
This article was first published in The Straits Times.
For more The Straits Times stories, click here.
No comments:
Post a Comment