Hundreds laid off as Bradenton used car dealership Off Lease Only goes out of business
Off Lease Only has shut down its used-car dealerships in Bradenton and four other Florida locations, leaving 466 workers without jobs.
Forty-nine jobs were lost at the Bradenton dealership, according to paperwork Off Lease Only filed with the state of Florida under the Worker Adjustment and Retraining Notification Act.
Off Lease Only also had locations in West Palm Beach, North Fort Lauderdale, Opa-locka and Orlando.
The company voluntarily filed for protection under Chapter 11 of the U.S. Bankruptcy Code to pursue an orderly wind-down of its business.
“The company made this decision due to the significant challenges and competitive pressures resulting from unprecedented changes to the automotive retail landscape,” Off Lease Only said in a press release.
“The industry has been impacted by inventory scarcity, and vehicle price inflation stemming from supply chain disruptions and multi-year declines in new vehicle production. Elevated pricing and rising interest rates have further deteriorated conditions in the automotive retail market, weakening consumer demand and affordability,” the company said.
Off Lease Only opened its dealership in Bradenton in April 2021 at 3230 14th St. W. on property once occupied by AutoWay Ford and Panda Garden Restaurant.
It was seen as bringing revitalization to 15 acres along the urban corridor, along with job opportunities and another car shopping option for consumers.
Most of the vehicles sold at Off Lease Only were manufacturer leases purchased at auction.
“Off Lease Only has explored a range of strategic options; however, industry headwinds coupled with the decreased affordability of used vehicles have necessitated the decision to pursue an orderly wind-down of the business,” the company said in the press release.
In an effort to address the challenges and competitive pressures, Off Lease Only had sought to find a stable source of working capital to sustain day-to-day operations, the company said in its notification to the state.
“Though those discussions have been difficult, the company had every expectation that it would be able to maintain operations. The company also and simultaneously actively pursued a buyer for some or all of the company’s assets. Unfortunately, in a completely unforeseen and unforeseeable turn of events, the sale of the company’s assets has fallen through and there are no other additional financing options available to fund the ordinary course operations of the company for all locations,” Off Lease Only said in a letter to the state.
This mass layoff and closing is expected to be permanent. There will be no bumping rights for employees.
Off Lease Only was founded in 2004.
For more information about Off Lease Only’s Chapter 11 case, visit https://cases.stretto.com/OLO.
This story was originally published September 11, 2023 at 1:30 PM.
