Borough council planners approved an outline application to demolish the Fiat-franchised premises and replace them with a three-storey block of 12 flats.
PDH Garages bought the site five years ago to replace its former premises at Downlands Corner, on the A27.
The freeholder, Esso, had sold the site for development, and PDH had to move quickly to safeguard the business and employees' jobs.
Fiat, however, then served two years' notice on PDH, starting December 31, 2008, saying it considered the Findon Road premises were not adequate for a modern-day, new car dealership.
PDH is seeking to relocate its business to land at Lancing, on which it has planning permission to build a new-car dealership.
The applicant's agent told the council's development control committee that residential development was required at Findon Road to fund PDH's move to Lancing, and the construction of new, purpose-built premises.
If PDH was unable to fund its relocation, the company would cease operating from Findon Road, resulting in the closure of the company, and redundancies.
One objection was received, from a Vale Drive resident, who said there were already enough blocks of flats in the area.
The resident also complained the development would overlook private gardens.
Click here to go back to Worthing news.
Where are you? Add your pin to the Herald's international readers' map by clicking here.
Email the Herald: [email protected]
Click here for the Herald staff directory.
Want to read this page in French, German, Spanish, Polish, Portuguese, Urdu or 48 other languages? click here for Google translate.