Volkswagen is set to purchase a 265,000 square foot showroom at 11th Avenue and 56th Street in Manhattan that will serve as a highly visible showcase for the company’s VW and Audi brands.
The German automaker says that the showroom will debut a new design concept for VW and will open early next year as a VW dealership before the Audi showroom is unveiled later in the year.
CB Richard Ellis, the agency that handled the sale, says that VW paid $84 million for the real estate but also intends to invest another $41 million into a thorough renovation.
Numerous other automakers also operate flagship showrooms in Manhattan; the new VW-Audi complex will be just blocks from similar facilities showcasing Mercedes-Benz and BMW.
The showroom is currently owned by Potamkin Auto Group, which sells Cadillac, Chevrolet, Buick, GMC, Hummer and Saab models. Potamkin is moving the GM (and soon to be non-GM) brands to its former Honda showroom also on 11th Avenue in Manhattan when it sells off that franchise.
The building has a storied history in the automotive world; it was owned by GM until 1979 when Potamkin bought it and opened up Manhattan Cadillac. Later, GM bought back the facility for a short period before selling it back to Potamkin.
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