One of Atlanta’s largest luxury auto groups, Hennessy Automobile Companies, has struck a deal to sell its dealerships and real estate assets to a Houston-based group rapidly expanding in the region.
Valued at $1.3 billion, the deal includes 10 dealerships representing luxury brands such as Porsche and Lexus, as well as facilities containing 500 service bays staffed by about 280 technicians, according to a news release. Group 1 Automotive, one of the largest publicly traded dealership groups, is the buyer.
Group 1 expects the deal to generate about $1.7 billion in annualized revenue, according to the news release. It is expected to close by year-end.
The transaction comes on the heels of Group 1 acquiring two other metro area dealerships: Stone Mountain Honda and Stone Mountain Toyota. The Hennessy acquisition will make Atlanta Group 1’s second-largest market based on revenue, and its ninth market in the U.S. with five or more stores, according to the news release.
In a statement, President Peter Hennessy said Group 1 shares the company’s customer-focused philosophy, “which will remain the foundation as they move our dealerships into the future.”
“Under Group 1’s stewardship, I know this strong legacy and deep commitment to Atlanta will continue,” Hennessy said in the statement.
Hennessy Automobile is a family-owned dealership group founded in Atlanta in 1964 and has since grown to become one of the largest family-owned auto retailers in the region. Its dealerships include luxury and import brands and span Alpharetta, Chamblee, Duluth and Woodstock, among other parts of metro Atlanta.
The Hennessy principals are transitioning out of the business after the transaction closes, a Group 1 spokesperson confirmed.
Hennessy sold a dealership for the first time in October 2025. Hennessy Mazda and Hennessy GMC in Morrow was acquired by ALM Automotive Group, another metro Atlanta-headquartered operation.
Consolidation across automotive retailers has accelerated in recent years, according to a first-quarter report from advisory firm Kerrigan Advisors. The industry is entering its sixth year of record-setting acquisition activity, with key players such as Lithia Motors, AutoNation and Group 1 actively expanding their holdings.
A growing number of dealer families are determining the time is right for a sale, which can explain the increase in this year’s buying and selling activity, according to Kerrigan’s report.
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