LISTED motor group Tan Chong International has invested $40 million in a high-tech car storage and delivery centre.

Opened on Monday, the four-level facility, with about 400,000 sq ft of space, is RFID-enabled. This is the first auto hub with Radio Frequency Idenfication capability in Singapore.

The technology allows Tan Chong to store over 900 vehicles in one compact location, via an automated stacking system.

Each vehicle wears an RFID tag before it is stored. With the touch of a button, any stored car is retrieved within minutes. This cuts down on time and fuel needed in the manual system of storing cars, and also prevents the occasional dink and scratch that might arise.

The new facility at Sixth Lok Yang Road doubles as a car dellivery centre. Customers can collect their brand new ride in airconditioned comfort, and start the engine indoors because of an extraction system that is attached to car tailpipes and removes exhaust out of the building.

The facility, named TC Nissan Hub, can deliver 12 vehicles at any one time.

Tan Chong managing director Joseph Ong said the centre offers several benefits to car buyers.

'Our customers will receive their cars faster, and the mileage clocked will also be significantly lower,' he said.

Previously, with the manual storage method, each new vehicle typically clocks up about 50km because drivers had to locate parking spaces for them. Sometimes, several vehicles had to be moved before the right one can be retrieved.

Acting Communications and the Arts Minister Lui Tuck Yew, who was guest of honour at Monday's opening ceremony, said early adopters of RFID technology like Tan Chong 'play an important role in supporting this growing sector'.