Site search
sponsored by
Home
News
ENLARGE
Jim Keil Chevrolet on Brunswick and Sutton Way, Grass Valley could be a Walgreens in the future, creating a triangle of drug stores with nearby Longs and Rite-Aid.
Plans have been sent to the city of Grass Valley that could lead to the development of a Walgreens at the location of Jim Keil Chevrolet, which is expected to close in July.
The sale of the Glenbrook Basin property has also sparked a lawsuit by former employee Thomas Rubino, who claims Keil defrauded him of $700,000 he invested to shore up the flagging auto dealership.
Keil is in Mexico and unavailable for comment, according to the auto dealer's office manager, Jackie Campbell.
"He'll be back sometime before the first of August," Campbell said. "He's in Puerto Vallarta, and he told me he's the only one who can give out a statement."
Two employees at the auto dealership at the corner of Brunswick Road and Sutton Way told customers Tuesday that the business will be open until the end of next week.
Matt Weaver, owner of Weaver Auto and Truck center in Grass Valley, said Tuesday that many of Keil's employees have applied for jobs at his dealership and told him that it will close July 15.
"I have a stack of applications," he said.
In addition, Jim Keil Chevrolet is planning to run ads in The Union to announce a liquidation sale this weekend.
According to Nevada County records, Keil switched the deed for the property from Jim Keil Chevrolet-Oldsmobile Inc. to himself on June 22. On that same day, he sold the land to Interra-Vision Development of El Dorado Hills.
The sale of the Glenbrook Basin property has also sparked a lawsuit by former employee Thomas Rubino, who claims Keil defrauded him of $700,000 he invested to shore up the flagging auto dealership.
Keil is in Mexico and unavailable for comment, according to the auto dealer's office manager, Jackie Campbell.
"He'll be back sometime before the first of August," Campbell said. "He's in Puerto Vallarta, and he told me he's the only one who can give out a statement."
Two employees at the auto dealership at the corner of Brunswick Road and Sutton Way told customers Tuesday that the business will be open until the end of next week.
Matt Weaver, owner of Weaver Auto and Truck center in Grass Valley, said Tuesday that many of Keil's employees have applied for jobs at his dealership and told him that it will close July 15.
"I have a stack of applications," he said.
In addition, Jim Keil Chevrolet is planning to run ads in The Union to announce a liquidation sale this weekend.
According to Nevada County records, Keil switched the deed for the property from Jim Keil Chevrolet-Oldsmobile Inc. to himself on June 22. On that same day, he sold the land to Interra-Vision Development of El Dorado Hills.
Interra-Vision representatives Brian Kisling and Drew Bardet were in Grass Valley Monday filing a conceptual plan for a Walgreens on the same piece of land that Jim Keil Chevrolet now sits on, according to Community Development Director Joe Heckel.
"It's very preliminary," said Dan Chance, an associate planner with the city. "There's no formal application yet. We met with them and I suppose the design will alter considerably before (and if) it goes to construction."
The preliminary plan calls for a typical looking brown, stucco Walgreens of 14,550 square-feet.
"We intend to keep operating the Chevrolet dealership on site until we know more about Walgreens' intentions to utilize the site," Kisling said Tuesday. "At some point, we may make an application to the city and there will be more public knowledge if Walgreens decides to open a store there."
Kisling said his real estate firm had bought the land, but not the auto business.
"We are not an authorized dealership," he said, adding that his real estate firm buys land and "sometimes we develop it and sometimes we just hold it." He would not divulge the price paid for the property.
Carol Hively of Walgreens corporate office in Chicago said, "We are looking at and are interested in Grass Valley, but it's too soon to have details or to confirm we'll open a store there."
Meanwhile, Keil remains in Mexico with Rubino's lawsuit hanging over his head. His lawyer, Steven Spiller of Nevada City, had no comment on the situation.
Rubino's lawyer, Steve Boutin of the Bay Area, said his client is "a hard-working, ethical guy who wants to see some relief from the legal angle."
According to the lawsuit filed in Nevada County Superior Court, Keil owned 100 percent of the auto dealership in November 2004 when he entered into discussions with Rubino.
"It's very preliminary," said Dan Chance, an associate planner with the city. "There's no formal application yet. We met with them and I suppose the design will alter considerably before (and if) it goes to construction."
The preliminary plan calls for a typical looking brown, stucco Walgreens of 14,550 square-feet.
"We intend to keep operating the Chevrolet dealership on site until we know more about Walgreens' intentions to utilize the site," Kisling said Tuesday. "At some point, we may make an application to the city and there will be more public knowledge if Walgreens decides to open a store there."
Kisling said his real estate firm had bought the land, but not the auto business.
"We are not an authorized dealership," he said, adding that his real estate firm buys land and "sometimes we develop it and sometimes we just hold it." He would not divulge the price paid for the property.
Carol Hively of Walgreens corporate office in Chicago said, "We are looking at and are interested in Grass Valley, but it's too soon to have details or to confirm we'll open a store there."
Meanwhile, Keil remains in Mexico with Rubino's lawsuit hanging over his head. His lawyer, Steven Spiller of Nevada City, had no comment on the situation.
Rubino's lawyer, Steve Boutin of the Bay Area, said his client is "a hard-working, ethical guy who wants to see some relief from the legal angle."
According to the lawsuit filed in Nevada County Superior Court, Keil owned 100 percent of the auto dealership in November 2004 when he entered into discussions with Rubino.
Keil said he would sell the property for $3 million and the dealership for $2.5 million, according to the lawsuit.
Rubino couldn't come up with that much money, but said he could get $700,000 by refinancing his home and then buy 28 percent of the business. The suit said Keil accepted the offer and told Rubino he could buy the business in increments as time and money allowed.
Keil also named Rubino general manager of the business and approved several other perks, according to the lawsuit.
The suit claims Rubino was to be paid $10,000 a month and entertainment and expense money of $1,550 per month. He also got the use of two new vehicles and Keil was to repay the $700,000.
Rubino alleges that Keil put $600,000 of the $700,000 into the auto dealership and the other $100,000 into his own pocket.
"At or about the same time, Keil began to spend extended periods of time at a residence in Mexico, all the while relying on Rubino to manage and run the dealership," the suit said.
Rubino did that until February of 2006. At that time, the lawsuit alleged, Keil phoned Rubino from Mexico and told him to take $60,000 out of the dealership and place it in his personal bank account.
Rubino refused, and on Feb. 22 he was called in to a meeting with Campbell, the dealership's office manager. The suit said Campbell gave Rubino a letter from Keil that said he was being removed as general manager and was forbidden from returning to the dealership.
The letter said Keil would pay Rubino's salary, continue paying his bank notes on the refinanced home and would allow him to keep the vehicles. Then on May 29, the lawsuit said, Keil's attorney sent Rubino a letter saying all arrangements were being terminated.
Rubino couldn't come up with that much money, but said he could get $700,000 by refinancing his home and then buy 28 percent of the business. The suit said Keil accepted the offer and told Rubino he could buy the business in increments as time and money allowed.
Keil also named Rubino general manager of the business and approved several other perks, according to the lawsuit.
The suit claims Rubino was to be paid $10,000 a month and entertainment and expense money of $1,550 per month. He also got the use of two new vehicles and Keil was to repay the $700,000.
Rubino alleges that Keil put $600,000 of the $700,000 into the auto dealership and the other $100,000 into his own pocket.
"At or about the same time, Keil began to spend extended periods of time at a residence in Mexico, all the while relying on Rubino to manage and run the dealership," the suit said.
Rubino did that until February of 2006. At that time, the lawsuit alleged, Keil phoned Rubino from Mexico and told him to take $60,000 out of the dealership and place it in his personal bank account.
Rubino refused, and on Feb. 22 he was called in to a meeting with Campbell, the dealership's office manager. The suit said Campbell gave Rubino a letter from Keil that said he was being removed as general manager and was forbidden from returning to the dealership.
The letter said Keil would pay Rubino's salary, continue paying his bank notes on the refinanced home and would allow him to keep the vehicles. Then on May 29, the lawsuit said, Keil's attorney sent Rubino a letter saying all arrangements were being terminated.
Keil has filed his own suit to get a 2006 Chevrolet Suburban worth $57,000 and 2006 Chevrolet Uplander worth $36,000. The suit was filed in Nevada County Superior Court this week and is scheduled to be heard at 1:30 p.m. on July 14.
Rubino's suit claims Keil was continuing to negotiate a sale of his business to Rubino prior to their altercation over the transfer of the $60,000. Shortly after Keil informed him that he had negotiated a deal to sell the property to another party for $6.2 million.
"They pulled the rug out from under him," Boutin said this week. "It appears that Mr. Keil has sold the property and you can't have a dealership with no land there."
The suit said Keil's sale of the property rendered, "Rubino's investment essentially worthless because the viability of the dealership was directly dependent upon its continued location at the real property."
In his claims to the court, Rubino said:
• "Keil concealed from Rubino the true financial status of the dealership and concealed the financial dealings of the dealership and Keil's financial problems."
• "Keil commingled dealership funds with personal funds and used corporate assets for his own personal benefit."
• Keil will collect $6.2 million from the land sale and return dealership rights to General Motors, effectively wiping out the value of the dealership and the $700,000 Rubino invested in it.
ooo
To contact senior staff member Dave Moller, e-mail davem@theunion.com or call 477-4237.
Rubino's suit claims Keil was continuing to negotiate a sale of his business to Rubino prior to their altercation over the transfer of the $60,000. Shortly after Keil informed him that he had negotiated a deal to sell the property to another party for $6.2 million.
"They pulled the rug out from under him," Boutin said this week. "It appears that Mr. Keil has sold the property and you can't have a dealership with no land there."
The suit said Keil's sale of the property rendered, "Rubino's investment essentially worthless because the viability of the dealership was directly dependent upon its continued location at the real property."
In his claims to the court, Rubino said:
• "Keil concealed from Rubino the true financial status of the dealership and concealed the financial dealings of the dealership and Keil's financial problems."
• "Keil commingled dealership funds with personal funds and used corporate assets for his own personal benefit."
• Keil will collect $6.2 million from the land sale and return dealership rights to General Motors, effectively wiping out the value of the dealership and the $700,000 Rubino invested in it.
ooo
To contact senior staff member Dave Moller, e-mail davem@theunion.com or call 477-4237.
