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June 23, 2014 - 11:03pm

Nationwide auto auction chain to purchase 30 acres for new facility in Bergen

posted by Howard B. Owens in business, GCEDC, bergen.

A company that specializes in auctioning off "total loss" vehicles is planning to move its Rochester location to Bergen.

The Genesee County Economic Development Center Board on Monday approved the sale of 30 acres in Appletree Acres Corporate Park to Insurance Auto Auctions, which has more than 160 locations nationwide.

IAA runs salvage auto auctions, selling cars that insurance companies have declared totaled, either because of accident, weather damage or theft. 

The company says on its Web site that more than 3.5 million vehicles in the U.S. are declared a total loss each year.

Some of the vehicles can be repaired and resold; others are good only for scap or parts.

By state law, only dealers can purchase cars that have been declared salvage.

The company will pay $600,000 for the property and plans to invest $3.5 million and $4 million on the new facility.

Between IAA and vendors, the location will employ 10 to 15 people.

Information on any tax abatements IAA may receive is not yet available.

Steve Tibble, IAA's director of real estate and development, said the company will next apply to the Town of Bergen for all the site and plan approvals.

"We plan on being open as fast as we can," Tibble said.

Irene Will
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Back in the olden days, we'd call that a junkyard.

Howard B. Owens
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A junk yard is a place where salvage cars are stored and some never leave. They are parted and left to sit until somebody wants to try and get another part.

Here, cars are parked for a period of time, sold, and taken away. They are not parted on site.

jeff saquella
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who would really want to buy a car that has been declared a total loss

Jeff Allen
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Total loss is only an insurance term that doesn't always reflect the true condition or reparability of the vehicle. They can be a gamble, but they can also be a great value. I bought one a few years ago, drove it trouble free for 3 years and sold it with full disclosure for almost what I paid for it. Like any vehicle transaction, it takes due diligence, maybe just a little more.

Howard B. Owens
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Somebody who wants to make money.

Anne Sapienza
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I would ask people in Bergen to go to their website and take a look at the facility at 366 Vulcan St., Buffalo, NY. Look at some of the others also. We have three legal junk yards in Bergen now, do we really want this in our town?

RICHARD L. HALE
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Often times while having coffee at Horton's, I've seen a lot of these "totaled" vehicles go by on car carriers, flat beds, trailers.....seems to be a pretty popular deal. I imagine there's money to be made.

I believe there is an outfit in Leroy that auctions cars also. Can't think of the name. Haven't heard any complaints on that one.

There has to be something to it, a company wants to invest that kind of money.

Daniel Neal
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Rich - the one in Leroy is called Copart , very well organized and we'll hidden facility

Anne - Speaking as a former resident of Bergen who still has family there I can say that this is going to be good for the town as a whole , as repeated several times , this is not a junkyard , the cars that come there will be there for 1-2 weeks then gone , the is no public access , you have to be a dealer or dismantler in order to purchase a car there , they sell whole cars only , no parts , not only will this bring jobs to the town , but also increased revenue to places like Bergen Country Deli , Ralph & Rosies and Gregry's due to the increased traffic in that area , and last I knew there are only 2 Legal junkyards in town , Metalico and Demo's

Raymond Richardson
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Daniel,

"Between IAA and vendors, the location will employ 10 to 15 people."

Not a huge number of jobs, but even a small number helps.

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