Up to now, JM Family Enterprises has operated five automotive businesses, including Southeast Toyota Distributors, which it describes as the world’s largest independent distributor of Toyota vehicles. The company is also involved in financial services and owns a Lexus dealership.
On Monday, the company announced its first acquisition outside of automotive.
JM Family has acquired Home Franchise Concepts, a franchising system in the home improvement goods and services space. HFC is the parent of the Budget Blinds, Tailored Living, Concrete Craft and AdvantaClean brands.
Those businesses join JM Family’s existing businesses in the automotive space: Southeast Toyota Distributors, F&I product provider JM&A Group; financial services companies Southeast Toyota Finance and DataScan; and JM Lexus.
JM Family Enterprises president and chief executive officer Brent Burns said in a news release that his company was attracted to HFC because of its “similar core values.” Among those values are a “customer-centric philosophy” that uses proven business models, expert training, and the latest products, technology, marketing and other resources to enable the success of business owners.
“As a franchise leader in the multi-billion-dollar home improvement space, Home Franchise Concepts represents an ideal fit for our company, enabling JM Family to use our 50 years of experience with the franchise model to amplify HFC’s already established brands,” Burns said.
JM Family said HFC’s four brands consistently lead their categories, with a presence in almost 1,700 franchise territories in the United States, Canada and Mexico. JM Family acquired HFC from a private equity fund sponsored by Trilantic North America, a PE firm that invested in the business in 2015 to gain growth opportunities.
HFC was established in 1993, with home products and services such as motorized, automated offerings including the new Budget Blinds Smart Home Collection, with personalized, in-home customer service delivered by local franchisees.
More detail on the family of brands: JM Family says Budget Blinds is the largest retailer of custom window coverings in North America. Tailored Living featuring PremierGarage is the largest franchise system in North America that provides whole-home organization products and services, according to the company. JM Family describes Concrete Craft as the only decorative concrete franchise system backed by a large international company. And AdvantaClean is a national provider of “professional services for a healthy home.”
“At HFC, it all comes down to caring for our franchisees and the customers they serve, something at which JM Family has excelled for 50 years,” said HFC chief executive officer Shirin Behzadi. “From this perspective, an alliance with JM Family makes tremendous sense. JM Family is a long-term partner committed to growing its business and customer base through the latest products and services. JM Family comes with new resources and thinking that can ‘turbo-charge’ HFC brands.”
Behzadi added, “HFC has the solid foundation necessary to become the place for homeowners to go to for their home improvement and enhancement needs. Our partnership with JM Family will help us achieve this vision.”
Jim Moran founded JM Family in 1968, and the company said Moran believed “associates are our most important asset.” HFC also operates with that associates-first philosophy, Burns said. “That similarity and many other parallels between JM Family and HFC — most notably culture and giving back — made the decision to move forward a clear one.”
Bar-like meeting counters with stools for up to 100 customers is just one portion of HGreg.com’s approximately $25 million investment into its new Miami pre-owned car dealership location. The site, named HGreg.com Miami, opened Saturday.
HGreg.com says the new Miami site is located on “prime real estate” between I-95 and 441, just north of NW 79th Street (SR 934). The company acquired the four-acre property in spring 2018.
The company says additional renovations include a “spacious and bright” showroom and office and work space for more than 50 South Florida region staff members.
Technology and training are also part of the approximately $25 million investment.
HGreg.com Miami features an inventory of more than 500 pre-owned vehicles. The company also noted its network of six new and pre-owned car dealerships in Florida provides access to more than 3,500 vehicles, and it also features a 100,000-square-foot warehouse in Doral, located near the Miami International Airport.
With HGreg.com Miami, the company now operates four pre-owned car dealerships in Florida. Other locations are in Orlando, Westpark and its flagship location in Doral.
In addition, the brand operates a luxury vehicle boutique car dealership, named HGreg LUX, in Pompano Beach. HGreg Nissan Delray Beach is another HGreg new-car location.
“Like our business model and corporate culture, we’ve built out this new Miami location with the customer in mind,” HGreg.com president John Hairabedian said in a news release. “We’ve taken our time to prepare ourselves, and we’re confident this location will provide the level of service that customers have come to expect from us, online and through our other locations in the region.”
“Customers deserve choice, quality, service and low prices,” said South Florida-based HGreg.com chief operating officer Fade Bouras.
“We’re growing steadily in the region and noticing a high percentage of repeat customers,” Bouras said. “A big part of our success rests on the values and service commitment of our staff. We’re proud of our team’s performance and invite others to consider joining our team. We’re always looking to fill full and part-time positions.”
HGreg.com says it stands behind every vehicle it carries because of a rigorous quality-control process. After passing inspection, the vehicle is placed on HGreg.com. At that site, customers can reserve the vehicle on the spot and take it home on the same day. HGreg.com says its flexible return policy allows new car owners who are not completely satisfied with their purchase to return their vehicles within three days for a refund.
Lithia Motors has bought its first store in West Virginia, the dealer group said Wednesday.
West Virginia is now the 19th state in the expanding Lithia network as the company added Ford Lincoln of Morgantown, which was previously named Freedom Ford.
The group said the new addition is an example of how Lithia acquires stores “with the potential to yield high returns.”
Lithia president and chief executive officer Bryan DeBoer said in a news release that Ford Lincoln of Morgantown shows similarities to other stores that Lithia operates in exclusive markets.
“They are a terrific team passionate about taking care of their local customer,” DeBoer said. “We’re excited to help them grow their customer base and increase profitability by leveraging our internal performance data, including the resources of the 12 Baierl and Day auto stores in nearby Pittsburgh, Pa.”
DeBoer also noted an accelerating market for purchasing dealerships, and Lithia reported that its revenue increased 17.2% in 2018 and that the company moved up 29 spots to No. 265 on the Fortune 500 list. Consumers can buy, sell and service vehicles online or through its 183 locations nationwide.
“We will continue to seek strategic acquisitions where performance management, digital innovation and our passion to serve consumers wherever, whenever and however they desire increases the market share of the store,” DeBoer said.
Lithia Motors says that it has a strong strategy for success in “acquiring strong stores that are underperforming relative to their potential.”
The company says its latest acquisition is another example of that strategy.
Lithia Motors on Tuesday announced the addition of Hamilton Honda in Hamilton Township, N.J. The company said the move expands Lithia’s presence in New Jersey and toward eastern Pennsylvania.
Lithia likes Hamilton Honda’s potential. The store totaled $160 million in revenue in 2018. Among all Honda stores, Hamilton Honda ranked 23rd in the nation and eighth in the New York Metro market.
“We’re excited to welcome the Hamilton Honda team,” Lithia president and chief executive officer Bryan DeBoer said in a news release. “They built strong market share with a very customer-focused strategy. We're eager to help them translate that share into increased profitability through leveraging our internal performance data.”
DeBoer sees an active environment for purchasing dealerships.
“We will continue to seek strategic acquisitions where performance management, digital innovation and our passion to serve consumers wherever, whenever and however they desire increases the market share of the store,” DeBoer said.
