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Tesla opens first dealership despite production snags

 
13 1,327 views May 2, 2008
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Tesla opens first dealership despite production snags

Tesla opens first dealership despite production snags

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Although the first batch of Tesla Roadsters is already on sale - to the tune of 1,000 pre-orders - only four production cars have been built. But that hasn't stopped Tesla from opening its first dealership in one of the busiest sections of Los Angeles. Built at a cost of $2 million, the dealership has some unique features.

For starters, the service area is out in the open, inside the massive 10,000 square foot (930 square meter) showroom, allowing customers to watch as their Roadsters are worked on. Which all first generation customers will do at some point - the updated two-speed Magna-developed transmission will require a two-hour swap when it becomes available.

Some other unique features of the dealership include its corporate structure. It's a store run directly by the factory, not by a franchise - so sales people are paid by salary instead of by commission. Speaking with Automotive News Elon Musk, Tesla's founder, compared the dealership to Apple's stores.

"The Apple Stores have worked out well. It's a fantastic consumer experience," he said. "We wanted a nontraditional automotive experience, and we have it."

With 600 of the pre-ordered Roadsters already sold and another 400 on the waiting list, the company has its hands full getting the car into full production. At the moment production is being handled by Lotus in the UK, but at a sharply reduced rate from what the company had planned.

Still, the company is aiming to have 300 cars built by December, and by then monthly production should climb to 150 units. Next year the car will be assembled in northern California from parts sourced from around the world.

The Los Angeles dealership is located near the intersection of Santa Monica and Sepulveda boulevards, just off the 405 freeway, where it should get plenty of views from slowly passing motorists. The next dealership will open mid-year, and will be built in Menlo Park, near the company's headquarters in California's Silicon Valley. New York, Seattle, Chicago and Miami are also planned for dealership locations, and should be built by Q1 2009.

The Roadster is currently priced at $109,000.

Tesla Roadster
Tesla Roadster

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Comments (13)

  1. By Gus Posted: 5/2/2008 1:20pm PDT

    Where is it? I want to drive up there next week sometime and check it out.
     
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  2. By Roy Posted: 5/2/2008 1:36pm PDT

    The relatively slick website has not yet been updated with that (important?) detail.
     
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  3. By Roy Posted: 5/2/2008 1:38pm PDT

    The best I can do is that it's on Santa Monica Blvd, opposite a Starbucks. Does that narrow it down?
     
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  4. By Gus Posted: 5/2/2008 6:16pm PDT

    To about 1600 places, yes.
     
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  5. By MyWheelsOnWalls.com Posted: 5/2/2008 8:13pm PDT

    Gus you'll have to fill us in on how it is. Although to me this whole adventure seems very similar to an American/Irish outfit that once promised miracles and went up in a very large cloud of smoke......
     
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  6. By admin Posted: 5/2/2008 11:59pm PDT

    Gus, we'll call Tesla on Monday and find out for you. Perhaps you can pose as a customer and tell us how it is?
     
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  7. By Gus Posted: 5/3/2008 10:16am PDT

    I'll drive up in my Mustang GT and say "hey y'all, do you make something that gets better mileage than that tharr old horse out tharrr?" :)
     
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  8. By ohmy Posted: 5/3/2008 3:06pm PDT

    they could have used those 2 mill to build more cars instead -_-
     
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  9. By Dmitriy Posted: 5/3/2008 8:56pm PDT

    I actually crashed Tesla's opening party in Menlo Park, they had 2 prototypes on display for their employees - #3 and #9. #3 still did not have finalized interior, but #9 looked like the final production model (at least that's what I was told by the nice lady who let me stay) :)

    If you're 6'0 and have a relatively big frame, this car is a *really* tight fit.
     
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  10. By Gus Posted: 5/4/2008 12:59am PDT

    According to cnn.com - the very first story - says it's not quite open yet.
    But they say "It's near the University of California, Los Angeles, in the city's tony Westwood neighborhood, where Beverly Hills, Brentwood and Hollywood practically intersect."
    I'll go the week after next, to make sure it's open, unless someone knows for sure when it opens...
     
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  11. By Hatemachine Posted: 5/5/2008 2:06am PDT

    It seems funny to me that they have opened a dealership yet have only actually built a handful of cars. With the recent lawsuits and gearbox problems and now this $2,000,000 dealership it seems more and more like this company might not be all we thought it was going to be. Why spend money on a place to sell your product when you don't really have a product to sell? It seems like this is a publicity stunt to keep them in the public eye while they try to solve the technical problems of putting the car in full production. I hope I'll be proven wrong.
    There are some questions that keep nagging at me in the back of my head about electric cars though.
    1: If everyone gets a plug up electric car in the next 10-20 years how much of a strain will that put on the power grid?
    2: How many additional power plants might be needed to supply the electricity?
    3: what medium will those plants use to produce the energy?
     
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  12. By Gus Posted: 5/5/2008 10:13am PDT

    Chris is the expert, but I think the influx of electric cars will be gradual enough to not be a huge impact. That, and I think 99% of cars will be charged at night, when demand is lower.
    As far as mediums for producing electricity, well, that's the big question in general. Coal is sure an easy one, as in Natural Gas. Nuclear seems to be making a comeback. Ideally we would discover sustainable fusion( and there is a lot of very highly funded research going into it), that would solve all of our problems...

    As far as Tesla building a dealership, well, that's their right if they have the money. I'm sure many people smarter and better connected to the industry than we are thought that through long and hard. I look forward to visiting it soon.
     
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  13. By Raold Posted: 5/6/2008 2:34am PDT

    I think Tesla should deliver batteries to the norwegian producer Think as well.
     
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