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I am very disappointed about their departure, especially after all of the nonsense promises related to their merger with BMW's ReachNow. I asked their Twitter account re. used cars and they gave me conflicting information: one said that the Mercedes are leased from the parent company and sent back while the other (more recently) said that I should check local auction houses since that's where they dispose of them.
I suspect one answer may be for the Smart Fortwo and the other for the more recent Mercedes sedans. The Smart cars likely don't have much residual value.
The first answer last year said that the Smarts are sold locally and that the Mercedes are sent back to the parent company. My recent question, asked when they were leaving Austin, was specifically about the Mercedes and they stated that they sold those locally.