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Southeast Toyota Distributors

From Alfawiki
Southeast Toyota Distributors LLC
Company typeSubsidiary
IndustryAutomotive distribution
Founded1968
FounderJim Moran
Headquarters
Deerfield Beach, Florida
,
United States
Area served
Alabama, Florida, Georgia, South Carolina, North Carolina
Key people
Brent Sergot (President)
ProductsVehicle distribution, parts supply, automotive logistics, technical education
Number of employees
1,000 (2020)
ParentJM Family Enterprises

Southeast Toyota Distributors LLC (SET), established in 1968 by entrepreneur Jim Moran, stands as the world’s largest privately owned distributor of Toyota vehicles. SET operates under a franchise agreement with Toyota Motor Sales, USA, managing the distribution of vehicles and parts throughout Alabama, Florida, Georgia, South Carolina, and North Carolina. As a fully owned subsidiary of JM Family Enterprises, the company’s headquarters are located in Deerfield Beach, Florida, while its main operational hub is situated in Jacksonville, Florida.

The organization’s core activities encompass vehicle distribution, parts supply, automotive logistics, and technical education. In 2020, SET generated $437 million in revenue from parts and employed around 1,000 individuals. Brent Sergot holds the position of President at Southeast Toyota Distributors and serves as Executive Vice President at JM Family Enterprises, providing strategic oversight to foster growth and sustain competitive positioning within the automotive distribution sector.

History

In early 1968, Jim Moran, a noted business figure, was invited to develop a Toyota dealership network in the Southeastern United States. Although initially unfamiliar with Toyota, Moran conducted extensive evaluations of their vehicles and identified their reliability, affordability, and market potential. On October 26, 1968, he launched Southeast Toyota Distributors (SET) to handle Toyota vehicle distribution from the Port of Jacksonville. During its inaugural year, SET supported 42 dealerships with a modest team based in Pompano Beach, Florida. By 1982, the company celebrated selling its one millionth Toyota vehicle and expanded its network to 151 dealerships.

Following Toyota’s introduction of the Lexus brand in the U.S. in 1989, SET took on the distribution of Lexus cars across the Southeast region. Additionally, the company incorporated the Scion brand into its offerings in 2003. Nevertheless, SET encountered difficulties during the 2008 economic downturn combined with Toyota’s recall issues between 2009 and 2011, resulting in layoffs affecting over 100 employees within processing and parts divisions.

Operations

Southeast Toyota Distributors is recognized as the largest private distributor of Toyota vehicles within the United States’ Southeastern market. Its primary rival is Gulf States Toyota based in Houston. Other U.S. territories receive direct supply from Toyota Motor Sales, USA. Since 1984, Toyota has opened seven manufacturing facilities across the U.S., boosting local production capacity. Currently, most vehicles distributed by SET are transported via rail instead of maritime shipment.

In 2020, SET recorded sales totaling 434,033 vehicles, including 94,507 units sold to fleet customers, underscoring its dominant market presence and robust financial results within its service area.

Leadership

Brent Sergot was named president of Southeast Toyota Distributors LLC and executive vice president of JM Family Enterprises Inc. on January 4, 2022. He manages operations encompassing three vehicle processing centers, parts distribution services, and Southeast Transportation Systems—the company’s automotive logistics division. Sergot also contributes as a member of JM Family’s Executive Management Team, shaping strategic planning and growth initiatives. He succeeded Ed Sheehy who held these roles starting July 2008. Before Sheehy’s tenure, leadership was under Ken Czubay beginning in 1990.

Vehicle processing

Southeast Toyota manages three distinct vehicle processing centers where automobiles are readied for sale, equipped with port-installed accessories, allocated to dealerships, and loaded onto car carriers for transport. These enhancements—including running boards, floor mats, spoilers, roof racks, alloy wheels, and caliper covers—boost the vehicles’ market value and contribute significantly to revenue growth.

Ship facility

The ship facility, Southeast Toyota’s first vehicle center, spans 75 acres at the Jacksonville Port Authority (JaxPort) Talleyrand terminal and has been handling vehicles arriving by sea since 1968. This location processes roughly 25 to 40 percent of Toyotas sold in the United States that are imported from countries such as Japan, Turkey, and France.

On April 25, 2022, Jaxport and Southeast Toyota revealed plans for SET to lease a new vehicle processing site at nearby Blount Island. This expansion aims to improve operational efficiency and increase capacity while offering associate amenities consistent with other SET locations in Jacksonville. The project is anticipated to be completed by the end of 2024. Jaxport is partnering with the Florida Department of Transportation on a $45 million initiative to expand Blount Island’s capabilities; SET will invest $16.5 million in this effort. The enhanced facility will support larger vessels and enable two ships to dock simultaneously. It will include two vehicle processing buildings totaling —an increase from —compared to the current (non-contiguous) space, along with new CSX rail connections.

Westlake Processing

In 2002, Southeast Toyota allocated $53 million toward establishing a vehicle processing complex on 250 acres within Jacksonville’s Westlake Industrial Park near Interstate 295. An additional 250-acre tract was acquired in 2005 for prospective growth. The facility comprises 11 buildings covering on 100 acres of paved parking and features a 50-car railhead located on Pritchard Road. A central services building was introduced in 2015. The reserve parcel was sold in 2020 yielding a $7 million profit, reflecting strategic asset management within SET’s corporate framework.

Inland Processing

The original Inland Processing center in Commerce, Georgia—launched in 1988 with a team of 40 associates—functions as a crucial distribution point for dealerships across Northern Alabama, Northern Georgia, and the Carolinas. By 2017, increased vehicle throughput expanded the workforce to approximately 200 employees.

In December 2018, Southeast Toyota began construction on a new $100 million complex situated across Georgia State Route 334 from the original site. Completed in April 2020, this 300-acre facility includes six buildings, extensive paved areas, six industrial rail spurs and sidings allowing concurrent unloading from up to 90 railcars. The site also offers amenities such as a fitness center, café, health center, and meeting rooms designed to enhance operational productivity and employee well-being.

Parts

Southeast Toyota Parts operates a warehouse facility based in Jacksonville. After becoming the Lexus parts distributor in 1989, SET restructured its operations in 2012 by splitting Lexus parts distribution between Atlanta and Orlando to accommodate growing volume.

By 2015, combined sales of Toyota and Lexus parts reached $574 million. The Lexus distribution centers in Atlanta and Orlando opened during mid-2016 and late-2016 respectively. In 2020, Toyota parts and accessories sales amounted to $437 million, highlighting SET’s significant presence in automotive parts distribution.

Transport

From the beginning, the company depended on contracted carriers to deliver vehicles, but this approach changed in July 2000 with the creation of Southeast Transportation Systems (STS). In 2008, a dedicated facility was opened at the SET Westlake Processing location, equipped with administrative offices, service bays, a truck washing station, fuel pumps, and a lounge area for drivers.

By 2023, STS had a workforce of 102 drivers who collectively covered 10.65 million miles and moved close to 160,000 vehicles to 177 Southeast Toyota dealerships and fleet clients from SET's processing centers in Jacksonville and Commerce.

Training

Established in 2007 at the Westlake Processing site in Jacksonville, SET's Technical Training Center (TTC) is a $6.6 million investment providing comprehensive training programs ranging from beginner to advanced levels in vehicle maintenance for Toyota models. The curriculum integrates computerized diagnostic tools and hybrid technology instruction. Annually, the TTC delivers up to 83,000 hours of training.

Furthermore, the Technical Services team based at TTC offers ongoing diagnostic support to dealership technicians.