TSLAs first-hand cars are a popular purchase for many consumers in California.
But in order to make the sale, automakers typically require a two-year lease.
Tesla and Tesla’s second-person-only Model S have a two year lease, while Tesla’s autopilot car and Tesla Powerwall have a three-year one.
Tesla has the luxury of making a deal with third-party car dealerships to sell their cars, rather than having to buy a new car outright.
“We can offer our second-honed car to a third party, they can pick it up and they can keep the car, and then we can make it available to the consumer for a fixed price,” Tesla CEO Elon Musk said during a recent interview with CNBC.
“So we’ve been able to offer our cars in a very flexible way, which is one of the advantages of having a second-party dealer.”
The move to offer its cars in-person comes as Tesla is making its first-ever foray into California, announcing this week that it is opening a secondhand car store in downtown L.A. The store will sell the Model S, which has the largest battery size of any car.
“This store will be the first Tesla store in California to be located in a traditional car dealership,” Musk said.
The store is scheduled to open in mid-August, and Tesla will also start selling its other electric vehicles, including its electric Model X SUV and the electric Model 3 sedan, in the store.
“In order to expand the Model 3 to a larger footprint, we are opening the secondhand store in a few other cities,” Musk continued.
“We will continue to expand our retail footprint.”
Musk’s company will have two stores in L.G.B.T. cities like Los Angeles, San Francisco, San Jose, and Oakland, as well as a third location in Chicago.
Tesla currently has seven stores in the US.