After delays pushed back construction of a new dealership in Marina, Mercedes-Benz of Monterey’s project is moving forward.
On Tuesday, April 21, the Marina City Council agreed to give Mercedes-Benz more time to start construction, while on Thursday, April 23, the Planning Commission recommended the council approve the dealership’s design plans at a future meeting.
In May 2025, the council approved an agreement with the dealership, in which the city would share half of its 1-percent local portion of sales tax revenue generated by the business with its owner Unstoppable Automotive Group. That is expected to amount to $5 million over seven years for the dealership.
Yet, the agreement stipulated that construction had to start by Jan. 1, 2026, which never happened.
City Manager Layne Long said delays in financing, tariff impacts and other factors meant construction could not happen by that original date.
The new agreement, approved unanimously by the council, now puts the starting date at Sept. 10, with construction to be completed within 18 months after that date.
In addition, the Planning Commission on April 23 recommended approval of the 57,000-square-foot dealership design and a permit to remove and replace more than 40 trees on the property, located at the corner of Divarty Street and 1st Avenue in the Dunes development.
That will be up for consideration by the council at a meeting expected to be held in the coming weeks.
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