Portsmouth-based Hendy Group will open its a multi-million pound new dealership in Eastleigh at the end of July, housing its second Kia franchise alongside its existing local Ford and Mazda franchises which will be relocated to the new site.

The location, chosen for its location near the M3 motorway, will offer extra space for its Hendy Ford and Mazda franchises without the need for extra staff. The group hopes a combination of bigger premises and the new Kia franchise will boost annual turnover by £5m.

"Kia is an ambitious and innovative car manufacturer and we are delighted to be able to open a second Kia dealership which complements our portfolio perfectly," said managing director Paul Hendy. “We are investing heavily in the new showrooms where up to 75 people will be working on the three franchises and this will be the perfect backdrop for customers to sample the Kia range.’’

Hendy Group has made a £10m investment in new facilities, which includes a recently opened parts department in Hedge End and bodyshop in Segensworth due to open later this summer. No further expansions are planned.