Pasadena : Break for Auto Dealers

Pasadena auto dealers will get a break under a rebate plan approved Tuesday by the Board of Directors.

The plan calls for a return of up to 50% of the sales taxes customarily paid to the city by dealers. The rebate, to be negotiated with dealers seeking to build or expand, is designed to help reduce land-acquisition costs for dealers building or remodeling.

Only dealers generating at least $100,000 worth of sales taxes annually for the city would be eligible.

The plan was devised to help retain the city’s dealers, who face rising land costs of up to $30 a square foot in Pasadena and competition from dealers in tax-supported auto parks in other cities, where land is as cheap as $5 a square foot.