Halbinsel Volkswagen in Escanaba closing Tuesday

ESCANABA, Mich. (WLUC) - The Volkswagen-Mazda dealership in Escanaba is closing Tuesday after 50 years of service in the community.

Market conditions and manufacturer-required capital investments caused the closure at Halbinsel, said general manager Terry Packer.

Both VW and Mazda had been sold and serviced out of the same building. However, the dealership was recently informed it needed a separate building for each brand, Packer said.

That would have amounted to a $10 million investment.

“For years we’ve been grandfathered in so that we didn’t have to build new buildings,” Packer said. “But at this point, that’s kind of come to an end and they want separate buildings.”

Packer said the dealership serviced all of its customers before closing the doors. And from here on out, any customer with a VW or Mazda dealer warranty will have to go to the next closest dealership, and that’s in Green Bay.

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