FORT WRIGHT — City Council passed a resolution of intent to create a new zoning category Wednesday, which could bring hundreds of new jobs and three automobile dealerships to town.

        Performance Automotive Group bought the 20-acre Dixie Gardens drive-in site, vacant for 15 years, for $3.75 million in December, according to City Manager Larry Klein. Performance, the same group scheduled to open a Lexus dealership in Covington, proposes to develop the land in conjunction with Wessels Construction of Fort Wright, into three luxury car dealerships and four commercial buildings.

        Mayor Gene Weaver said that the dealerships could bring an estimated 150 to 175 jobs. He could not estimate a precise financial impact on the city.

        “I think it has a very good possibility and could be a plus to the Northern Kentucky community,” Mr. Weaver said. “We visualize this being a financial boost.”

        National Amusements Inc. previously owned the land, bordered by Interstate 75, Kyles Lane and Dixie Highway.

        “This little site was just not on their radar screen, and they were asking quite a lot for it,” Mr. Klein said of the 15-year vacancy. “I don't think they were very motivated to sell it.”

        Rick Wessels of Wessels Construction, which developed the Covington Gateway and Gateway West Centers, said construction could begin this year and that the total project could cost $35 million. He said the proposal is in its early stages.

        The Dixie Gardens land, plus 5 adjacent acres, is currently zoned as professional office, a zoning that does not allow car dealerships.

        Council proposes to create another professional office zone to accommodate the dealerships.

        “Because of the way we are going to zone this and define luxury automobiles, it's not going to be a used car lot or even economy cars,” Mr. Klein said.

        Mr. Weaver said council would submit the new zoning category to a zoning committee within the next 10 days.

        The committee will then make a recommendation back to the council, which will have final say. The developers will need to apply for the new zoning.

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