Premier Motorauctions, which has been based on a single site in Leeds since its formation in 1996, has snapped up a former P&O container storage base in Birmingham for £8.2m.
Keith Elliott, the company’s managing director, predicted that the Birmingham site, which is close to the M6, could be turned into a car auction by March or April next year.
Premier, which is also the official auctioneers of DVLA personalised registrations, has an annual turnover of around £163m a year and employs 140 staff at its 2,000 vehicle capacity Cross Green Business Park in Leeds.
It sells cars and light commercial vehicles on behalf of banks and building societies, leasing and finance companies, garage groups and blue chip listed companies.
Mr Elliott said he hoped Birmingham City Council would grant planning permission for the development within the next three months.
He added: “Having reached maximum capacity at our Leeds site, we began searching some time ago for a second site that would enable us to continue maximising opportunities for attracting potential customers as well as finding new ones. When the Birmingham site became available it seemed the obvious choice, both in terms of its location and size.”
Simon Banham, area director at Lloyds TSB Corporate Markets, who worked with Mr Elliott to finalise the deal, said: “We have been bankers to Premier Motorauctions for 10 years now and it is rewarding to see the business develop a national presence. I am confident this acquisition will ensure the business will continue to thrive.”
He said Premier had been looking for a second site for at least two years, and there had been a number of “false starts” over that time.
Mr Banham added: “The road link is the key for this deal. Birmingham is strategically very important. Forty per cent of their work comes from south of Birmingham. They have also got the skills base there.”

Posted: 07|31|06 at 7:58 am. Filed under: UK News.