Despite economy, luxury cars rolling into town are hot ticket

The new Rolls-Royce Ghost is coming to town. The 2010 Ghost will arrive at the Los Gatos Luxury Cars showroom at 66 E. Main St. at the end of this month.

Los Gatos Luxury Cars is the former Silicon Valley Auto Group, which was purchased by Qvale Auto Group on Dec. 17. Qvale is headquartered in San Francisco.

Qvale also took over the auto group's showroom at 620 Blossom Hill Road. Most pre-owned vehicles will be at the Blossom Hill location, along with the service garage.

"We have four indoor showrooms, plus the outdoor lots at both locations," general manager Chris Coster said.

The dealership has 24 employees.

In addition to Rolls, Los Gatos Luxury Cars will carry Aston Martin, Bentley, Bugatti, Lamborghini and Lotus. Three "used" Ferraris are scheduled to arrive this week.

There are currently about 35 cars in stock.

"We're just gearing up," Coster said. "Over the next three or four months we'll have product launches and open houses."

On Jan. 8, for instance, the four-door Aston Martin Rapide came on the scene. The high-performance sports car lists for $199,950.

Despite the struggling economy, Coster is enthusiastic about being based in Los Gatos.

"The reason we're not on Stevens Creek is because people like the feel of a small town dealer," he said. "This is a great town to do business in."

And so far, Coster says, business is good.

"I've taken five orders on the new Rolls-Royce Advertisement Ghost," he said. "We've had a few cars go out. I've sold two Aston Martins and a Bentley."

In addition to Silicon Valley, Coster expects to attract customers from the Monterey Peninsula.

"I think we'll be serving down to Carmel and Monterey," Coster said. "A lot of this business is web-based and a lot of these cars are ordered. It's not like going into a Honda dealer."

With more than 300 options to choose from, it can take up to six months to get a custom-built Rolls.

The Qvale Auto Group is a family-run business that was founded by Kjell Qvale. Kjell, who is chairman of the board, entered the car business in 1946. His son, Jeff, is company president.

"The Qvale Auto Group sees an opportunity to expand in an industry where many are cutting back," Jeff Qvale said in a news release. "We will use our 60-year Bay Area history, modern Internet strategy and focused events to boost sales and service for luxury cars buyers."

Kjel Qvale, meantime, is confident the firm's experience in luxury car sales will help it weather the economic downturn.

"We feel that the luxury automotive market is starting to rebound," he said. "I feel we are well equipped to deal with fluctuations in the market."

In addition to its luxury dealerships in Los Gatos and San Francisco, Qvale also owns British Motor Car Distributors and other dealerships in San Jose, Redwood City, Livermore and Oakland.