Carvana Announces Auction-IRC 'Megasite' Integration in Colorado Springs | CVNA Stock News

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3 days ago
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  • Carvana (CVNA, Financial) integrates an auction-reconditioning Megasite in Colorado Springs.
  • The integration is set to create approximately 100 new jobs.
  • Enhanced services will benefit both retail and wholesale customers.

Carvana Co. (CVNA), an innovative leader in the online used car sales industry, has unveiled its plan to establish an auction and reconditioning Megasite within its existing ADESA Colorado Springs wholesale auction location. This strategic move aims to bolster Carvana’s Inspection and Reconditioning Center (IRC) capabilities while preserving the site's digital and in-lane auction functions. The integration is poised to broaden Carvana's production capacity and service offering for retail and wholesale clients in the Colorado Springs area.

The ADESA Colorado Springs location, situated in Fountain and boasting over 50 acres and more than 4,000 parking spaces, has reliably served local wholesale auto auction customers for over four decades. Leveraging this expansive infrastructure, Carvana has commenced the hiring process for new local team members, with projections indicating the creation of approximately 100 new entry-level and skilled job opportunities over time.

By incorporating IRC capabilities at ADESA Colorado Springs, Carvana amplifies its reconditioning capacity, ultimately enhancing its vehicle selection for both retail consumers and wholesale clients. This integration facilitates a diversified inventory pool in a fresh metropolitan area, streamlining Carvana’s reconditioning and fulfillment network, and offering local buyers access to a wider array of vehicles with expedited delivery times. Wholesale customers will continue to enjoy ADESA's in-lane and online auction services, now complemented by more comprehensive on-site reconditioning operations.

Brian Boyd, Senior Vice President of Inventory at Carvana, expressed enthusiasm about the expansion, noting, "This integration will bring a wider selection of vehicles with quick shipping times to local retail customers, provide a more robust offering for local wholesale customers, and also create new job opportunities for entry-level and skilled professionals in the local community."

The transition of ADESA Colorado Springs to an auction-IRC Megasite is facilitated by the location's substantial existing footprint and infrastructure, alongside the implementation of Carvana’s proprietary CARLI software, designed to support efficiency, scalability, and consistency across its IRC network.

Disclosures

I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.