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Ogle County News

Kunes Auto Group closes Oregon location after 10 years of business

City of Oregon estimates business was its largest sales tax generator

Employees of the Kunes' auto dealership in Oregon, Illinois, at 601 Gale St., were informed Friday, Aug. 29, 2025 that the dealership was closing. An official statement from the owners has yet to be announced.

Kunes Auto Group has announced the decision to close its Chrysler-Dodge-Jeep-Ram location at 601 Gale St. in Oregon after more than 10 years, effective Sept. 1.

“Customers are being welcomed at our nearby dealerships, where all service and warranty needs will continue to be supported,” according to a news release. “All Oregon employees were offered opportunities at other Kunes locations, and many have chosen to continue with the company. We are grateful to the Oregon community for their loyalty and look forward to continuing to serve the region through our nearby stores.”

Oregon City Manager Darin DeHaan said Tuesday that he was aware of the closure, and the city had concerns about the effects. The Kunes dealership is estimated to be the city’s largest sales tax generator.

“We estimate $50,000 to $70,000 worth of sales tax was coming in from that business per year,” DeHaan said. “Sales tax revenue goes into our general fund and helps to fund pretty much everything at the city from employee pay and benefits to programs we do to office supplies. The other impacts are having a local dealership like that for sales and service for residents, and to bring people in, and a piece of real estate like that sitting empty.”

DeHaan said the city hopes to see another car dealership come in to fill the 601 Gale St. space, which he called “a great building and location.” Oregon does not have another car dealership of Kunes’ size in town.

“We’ll put our heads together on how we can help to get it taken over by another business,” DeHaan said. “We’ve already talked about how the building could possibly be marketed for other uses if that comes to pass. Having something like that dealership here is a big deal for the city. People could get their cars serviced locally, and it brought in people from out of town. Having a car dealership is a huge economic and quality-of-life benefit.”

Kunes Auto Group bought the Oregon location in 2015. It was previously owned by Pete Harkness Auto Group and Brian Bemis Auto Mall shortly before that.

Kunes Auto Group is based in Delavan, Wisconsin. Its website lists Illinois locations of Sycamore, Sterling, Morrison, Belvidere, Woodstock, Beloit, Quincy and Macomb; Wisconsin locations in Delavan, Elkhorn, Lake Geneva, Milwaukee, Madison, Platteville and Stoughton; and Quad-City locations in Davenport, East Moline and Galesburg.