Sunday, August 29, 2021

CARVANA STATEMENT


 

ost Date:08/19/2021 8:30 AM

    In the late summer of 2020, City of Pomona staff was contacted by representatives of Challenger Realty Pomona 1 and Carvana about the possibility of Copart Inc. and Carvana using a portion of the Fairplex fairgrounds for vehicle storage and the unloading and loading of vehicles during normal business hours.  The representatives stated that there would be no live auctioning or vehicle maintenance functions performed at the fairgrounds.  Staff was advised that due to the Covid Pandemic the Carvana operation was essential to the financial well-being of Fairplex.  The City’s planning and economic development staff analyzed the proposed use.  Planning staff advised Carvana that its proposed long-term use of the fairgrounds was not a permitted use and that various entitlements, including an amendment to the Specific Plan, would be required to permit the use.  Staff further advised Carvana that the required entitlements were discretionary and would be subject to review and approval by the Planning Commission, which would also take into account the long-term vision for the use of the property.  Carvana began using the fairgrounds as a parking lot around March 2021 without obtaining a business license from the City.  In June 2021 the City began receiving complaints about the Carvana operations, including large transport trucks using residential streets, diesel fumes from the trucks, loud music in the early morning hours when trucks were delivering cars and vibrations from the heavy trucks transporting cars. 

    On August 3, 2021, the City sent Carvana a cease and desist letter.  Carvana’s California legal counsel contacted the City Attorney on August 9, 2021 requesting a meeting to discuss a quick resolution of the dispute.   As a result of this meeting, the following resolution has been reached:

    • Carvana has agreed to terminate its operations at the Fairplex. 
    • During the next 30 days Carvana will begin to ramp down its operating hours and has agreed to immediately address noise issues by discontinuing the use of outside speakers.
    • Within 30 days Carvana will cease the shipment of any additional inventory to the site.
    • Within 45 days it will also cease the use of all single-car haulers which will decrease employees on the site by more than thirty percent (30%). 
    • Within 120 days it will completely cease all operations at the site.

     

    The City is pleased to report on the successful resolution of this matter.

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    For media inquiries, please contact City of Pomona Deputy City Manager Mark Gluba at (909) 620-2448 or @ mark_gluba@ci.pomona.ca.us 

     

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