PHOENIX — Plans for Carvana's $65 million inspection and reconditioning center in Surprise are unlikely as the company faces potential bankruptcy and ongoing economic headwinds.
Tempe-based Carvana Co. initially purchased a 150-acre industrial site at the northeast corner of Cactus and Litchfield roads in 2021 with plans to build an inspection center to support its growth and the increased demand for used cars. Carvana paid $25 million for the large parcel in Surprise's industrial core.
But just over a year later, the online car dealer quietly sold the large rail-served site in December to Phoenix-based industrial developer Merit Partners for $40 million in an all-cash deal, real estate database Vizzda shows.
Sources with knowledge of the land sale say Carvana will no longer build a 200,000-square-foot center, which was poised to bring 500 to 800 jobs to the West Valley city, and that Merit could market it for potential build-to-suit opportunities.
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