# NYC TLC Lexus ES300H strategy



## Suberman (Dec 17, 2014)

The Lexus ES300H is a stretch Camry Hybrid with fancier duds. My thought is that it can double as an UberX and a Black Car in NYC. Most guys get the Suburban to double as a Black Car and SUV but from what I see there is just too much down time. The big Suburban is a gas hog, hard to park and expensive to insure. The Hybrid shuts down the small 4 cylinder whenever it can when it sits. 

The Lexus ES300H can be had used for about 38gs. That would be a 2014 model. It also makes a fantastic personal car unlike the big Burban.


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## Red (Nov 8, 2014)

The best scheme I've heard of is buying a used ES that have two more legal years of service left before it'll have to be retired by TLC or Uber rules (2012 model for Uber currently for example), selling it after use and rinse\repeating process. ES loses only a few grands in value over that period, so you end up paying less than if you'd leased it.

The only catch is to have money for the first car to begin with - financing doesn't fit well in this scheme. Unless you'll get a 48 month one?


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## Long time Nyc cab driver (Dec 12, 2014)

Red said:


> The best scheme I've heard of is buying a used ES that have two more legal years of service left before it'll have to be retired by TLC or Uber rules (2012 model for Uber currently for example), selling it after use and rinse\repeating process. ES loses only a few grands in value over that period, so you end up paying less than if you'd leased it.
> 
> The only catch is to have money for the first car to begin with - financing doesn't fit well in this scheme. Unless you'll get a 48 month one?


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## Long time Nyc cab driver (Dec 12, 2014)

What about the maintenance each used Lexus Es is going to need.
Unless it still has some sort of extended warranty.
It does kind of sound like it might work.
I've been toying with the idea of buying a new or used Suburban. 
That's why I keep on following your posts. 
I'm thinking, after it's all said and done, you're better off being an employee at a limousine company. 
Unfortunately, it seems like limousine companies aren't hiring like they used to. And my being an older guy certainly doesn't help.


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## Red (Nov 8, 2014)

That's the thing about Lexus - they just don't freaking break! Well, they do, of course, but way less then other makes. Thus low depreciation.

As for limo company - I can recommend one. Their cars, promising 600-800 take home. Owners are decent folks.


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## Long time Nyc cab driver (Dec 12, 2014)

Red said:


> That's the thing about Lexus - they just don't freaking break! Well, they do, of course, but way less then other makes. Thus low depreciation.
> 
> As for limo company - I can recommend one. Their cars, promising 600-800 take home. Owners are decent folks.


http://www.thesmokingtire.com/2014/matt-just-bought-a-900000-mile-lexus-ls400/


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## Suberman (Dec 17, 2014)

The Hybrid version has the same engine/trans/drivetrain as the Camry Hybrid and the Camry Hybrid is used as a cab. So the ES300H is just a Camry Hybrid stretched by 6 inches. The only difference is the ES300H is slower. 0 to 60 in 8.2 seconds and the Camry Hybrid is 7.6 seconds. MPG is slightly worse. Of course, the Lexus looks fancier and has fancier duds, but its just a Camry like any other taxi-cab in the city.

If you are worried about it breaking consider getting the extended warranty or Toyotacare I think they call it.

My thought is that i could use the Lexus ES as a working car for BlackCar and Uberx in the city and than use it as my personal car. I wouldnt get the SUV work, but I would get a bit more work with the BlackCar status and still have the UberX. The ES is basically a Camry like any taxicab, but a lot fancier so it wont be that costly to operate.

I was thinking of waiting until the end of the year when they bring out the 2016s and getting a brand new one on the first day. I believe they put the new ones out in October or November. That way I get 5+ years out of it. I could also get a used one. I'll check the prices and do the math. In any event, I would use the stinking piss out of the thing and Im not sure what the resale value would be when it gets retired. Probably sell like a salvage vehicle. If worse came to worse could probably just give it to a family member at retirement. 

I dont see anyone with a Lexus ES by the way. Just throwing this idea out there...


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## Long time Nyc cab driver (Dec 12, 2014)

What about this? 
http://www.boston.com/cars/news-and...very-market/d4WWeHpP4MR8xkSOSGobVM/story.html


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## Suberman (Dec 17, 2014)

Ive researched the Toyota Avalon and its a no-go because:

- Its not considered a "Black Car" by Uber even though it has a very nice Lexus like interior. The "Limited" version is especially Lexus like with front and rear seat heaters and coolers. Has tri-zone climate control. The Limited version should be Black Car.

- The livery version deletes some key things that livery drivers really need such as 1) Back-up Camera- Such as must for NYC! 2) Seat heaters-really good for the back from sitting way too long. I really love my seat heater. Acts as a heating pad to kill back pain. 3) Sunroof- Love that sunroof option for venting the vehicle after each rider.

- Only offers slightly more room and slightly more luxury for a lot more than the Camry.

- Rougher ride than the Camry. Not as quiet.

Im seeing more of the Toyota Avalons around the city, but mainly the standard V6 version and not the Hybrid.


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## Long time Nyc cab driver (Dec 12, 2014)

http://www.driveubernyc.com/vehicles/full-list/
I'm sure you've seen this...

A RollsRoyce Phantom is uber black, ROTFLMAO


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## Suberman (Dec 17, 2014)

I was looking up prices last night. Cheapest used 300H is a 2013 Lexus ES300h for 29000. If you buy new off of truecar its low to mid 40s. A stripper with a bare minimum options would be low 40s.


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## Sydney Uber (Apr 15, 2014)

Suberman said:


> The Lexus ES300H is a stretch Camry Hybrid with fancier duds. My thought is that it can double as an UberX and a Black Car in NYC. Most guys get the Suburban to double as a Black Car and SUV but from what I see there is just too much down time. The big Suburban is a gas hog, hard to park and expensive to insure. The Hybrid shuts down the small 4 cylinder whenever it can when it sits.
> 
> The Lexus ES300H can be had used for about 38gs. That would be a 2014 model. It also makes a fantastic personal car unlike the big Burban.


I like the ES300h, good room in back seat and boot, cheap as chips to run. Here in Oz its a $67k car!!

Bit of a slug, but hey its job is to make you smile by making money, not burnouts! 
If you can get one with a portion of its original manufacturers warranty, then take it to a trusted spanner-man to give ita VERY good inspection to uncover any problems that need to be rectified before warranty runs out.

You'll be very comfortable and happy driving that around.


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## Long time Nyc cab driver (Dec 12, 2014)

Suberman said:


> I was looking up prices last night. Cheapest used 300H is a 2013 Lexus ES300h for 29000. If you buy new off of truecar its low to mid 40s. A stripper with a bare minimum options would be low 40s.


I signed up on truecar to get a price on a new Suburban, Major Chevrolet on Northern Boulevard called me every other day for about two months, actually would be called harassment. They didn't even have the best price.


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## Suberman (Dec 17, 2014)

Just block them on your phone or simply tell them not interested and hang up. Thats what I did.

In regards to the Lexus I did some research.

2015 Lexus ES350 with Premium package- $37353- Add 10% for taxes and fees - $41088 out the door

2012 Lexus ES350 with 41000 miles from TrueCar (used car section) best price- $21900 Add 10% for tax and fees- $24090 out the door

2010 Lexus ES350 with 200,000 miles NADA Guide Average Trade-In- $8680 same car with 121000 miles average trade in NADA- 11175

Buying new- $32408 in depreciation - $6481 per year until retirement

Buying used- $15410 in depreciation - $6457 per year until retirement

I made some assumptions here such as you will probably sell the car for NADA trade-in value and that you will put on 40,000 miles per year. I also assumed you will buy the Lexus with the base premium package and not the one with the Mark Levinson stereo. Feel free to do your own math, but it looks like buying new is where its at. Also, the best time to buy it would be right at the end of the year. I.E. Buy the 2016 model in 2015 so it can get a few months of use in NYC. Also keep in mind that certain clean energy vehicles get a 1-2 year extension. No idea if this is one of them. The advantage of buying new is you have some initial warranty and you can also buy the extended warranty. If buying the extended warranty I would buy it online from the cheapest dealer and not at the actual dealer you get the car from. Email for quotes or do Google searches.

The figures above are for a non-Hybrid Lexus ES because they started making it in 2013 and I had no data so used the regular ES. Keep in mind the carfax might show that it was registered as a NYC TLC vehicle and if that happens the appeal will go down considerably.

The other question which begs asking is how about just buying a new Toyota Camry Hybrid and using it just for UberX TLC versus buying the new ES and using it for UberX and Black Car. A top of the line Camry Hybrid XLE with leather goes for about $31000, but you can get an LE for $26000 and have the interior converted to leather for another grand or two. The factory Toyota leather isnt as good as the aftermarket for car service work. The aftermarket is typically a bit tougher and more durable.


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## Long time Nyc cab driver (Dec 12, 2014)

Well, Suberman, it sounds like you did good research, if it were me, I would pay cash and get the longest extended warranty I could get.
Then get ready to work at least 12 hours a day, 6 or even 7 days a week. These people who work 8 hours a day and complain that they can't make money make me laugh.


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## Suberman (Dec 17, 2014)

I had a Honda and purchased the longest warranty I could get which was 120,000 miles and 7 years for $850. Of course, the longest warranty for the Suburban is going to be considerably more. I know for a Ford E150 van the 7 year/120k warranty costs about $2500. During the time I had that car, I used the warranty multiple times mainly for the TPMS sensors, but also for the alternator and the air condition knob. I was told for each TPMS sensor it would have cost me about $300, the alternator $800 and the air condition control speed switch about $1000. So any time you take the vehicle to the dealer for a problem its going to be 300-500 dollars at the least. Of course, taxi and car service people dont take vehicles to the dealers but to much cheaper places and they use used parts to the greatest extent. I know the places in NYC where they take their cars. No one speaks English, there is no sign on the front evidencing it as a licensed repair shop, etc. Basically, shady places. 

On a Suburban or Ford I know they drop transmissions eventually unlike the Toyota.

If you get the warranty, shop online at other dealers. Dont get it at the dealership you bought the car from unless they want to match the online price. Most of the time the dealer will try to sell it to you at double the online price.


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## Long time Nyc cab driver (Dec 12, 2014)

The shady repair places are to get you back on the road as fast as possible. They are good for minor stuff like changing a headlight bulb so the cops don't give you a ticket.
That's one reason I would buy a suburban, you have to have what every one else has incase you need minor repair. You show up in one of those taxi repair places with a Lincoln Navigator, or a Mercedes, Lexus, I'm sure they have no parts for them.
Those places specialized in Lincoln Town car's and yellow taxis.
I don't see as many of them around, like I said, the main thing is getting back on the road as fast as possible, especially for a private taxi, not part of a fleet.
I really don't know how long the dealer would take.
I have a chevy van that I took to the dealer a long time ago, it was under warranty and they kept it for two months for a minor repair hoping I would get mad and just forget about getting it fixed.


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## CesarNYC (Jan 6, 2015)

What about a Lexus RX450H?


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## Long time Nyc cab driver (Dec 12, 2014)

CesarNYC said:


> What about a Lexus RX450H?


CesarNYC, are you the guy with the Prius who lives in Corona ?


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## CesarNYC (Jan 6, 2015)

not me.


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## Long time Nyc cab driver (Dec 12, 2014)

Okay


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