Construction will soon start on a new $60 million luxury car dealership that aims to turn a 2.8-acre “urban scar” area into a key part of the city’s economic growth.
Norwalk-based McKenna Auto Group broke ground this month on Porsche Anaheim, a $60 million luxury dealership at 1515 W. Lincoln Ave. next to the Santa Ana (5) Freeway.
Once completed, it will be Anaheim’s first Porsche dealership.
“This project represents more than just a new building – it’s a reflection of our long-standing commitment to our customers, our employees, and the communities we serve,” Danny McKenna, owner of McKenna Auto Group, said. “For over six decades, our family has been proud to grow alongside Southern California.”
Urban Scar
The development comes as cities seek to transfer neglected or underutilized public land to private developers for redevelopment.
Anaheim has often worked with developers to repurpose land that was once considered blighted.
In the late 2000s, the city cleaned up the old Kwikset manufacturing plant and partnered with Brookfield Properties to create The Colony Park residential community.
The city also cleaned up a 30-acre former landfill called “Sinkin Lincoln” at Lincoln Avenue and Beach Boulevard, allowing Zelman Development Co. and Irvine-based Greenlaw Partners Inc. to redevelop it as a mixed-use community.
The Porsche dealership will be built on a three-acre site on North Manchester Avenue and West Lincoln Boulevard.
The site has been vacant and considered an eyesore for 20 years, ever since Anaheim acquired it from the Orange County Transit Authority following the I-5 freeway’s widening in the 1990s.
McKenna Auto Group bought the site for $9.1 million, including a $1.2 million credit from the city to help cover the high costs of clearing underground infrastructure.
Modern Dealership
McKenna officials envision the four-story dealership as a high-visibility flagship that drivers can see off the I-5 corridor.
“Our team and Porsche chose this particular site for its visibility, accessibility, and unique opportunity to transform a key corridor into a vibrant destination,” McKenna told the Business Journal.
The 157,800-square-foot dealership will have a modern facade designed by Praxis3, along with a showroom, gallery, advanced service center, vehicle storage, and a parts department.
Officials said the first two floors will have a showroom, auto repair services with 15 lifts, car wash bays, a breakroom, locker rooms and restrooms, a parts area, storage, offices, an electrical room, a photo booth, and a service lounge and counter.
McKenna Auto Group expects to hire between 46 and 75 people once the dealership is fully open.
“With the partnership of Praxis3, this state-of-the-art building is a striking architectural gem—an iconic, light-filled landmark that McKenna, Porsche, the City of Anaheim, and importantly the Anaheim and greater Orange County communities can all take pride in,” McKenna said.
The city estimates that the new facility will generate $1.1 million in sales tax revenue each year for its general fund.
The project is expected to be finished in 2028.
