IBJNews

UPDATE: Chrysler may find use for vacant Tipton plant

Back to TopCommentsE-mailPrintBookmark and Share

Chrysler Group might build transmissions in Tipton after all.

The company has requested tax incentives to launch production in a nearly 800,000-square-foot plant at U.S. 31 and State Road 28, according to Automotive News and the Kokomo Tribune.

The plant, which is about a half-hour south of the company’s transmission plants in Kokomo, never has been occupied. Chrysler partnered with Getrag Transmission of Germany in 2007 to build the plant, which was to employ 1,200 and make dual-clutch transmissions. But that partnership unraveled the next year, halting construction of the plant.

In 2010, W.W. Reynolds, a real estate developer, bought the building out of bankruptcy for $25 million and planned to lease it to Abound Solar Inc.

Loveland, Colo.-based Abound had hoped to hire 1,200 workers at the plant to make solar panels. But Abound crashed into bankruptcy this summer and now is liquidating.

After Abound failed, W.W. Reynolds listed the property for $39.5 million with the Indianapolis office of Cassidy Turley.

Chrysler confirmed to Automotive News that it is requesting incentives for a project at the vacant plant but wouldn’t say whether it has acquired the building.

“Chrysler will be working with the city regarding potential economic development incentives to assist us in making the business case for a possible future investment,” the company said in a statement.

“With the implementation of $1.3 billion in previously announced investments to provide the next generation of front- and real-wheel-drive transmissions, Kokomo remains at the center of the company’s power train offensive. We will continue to look for ways to improve our operations and our products to meet the new fuel economy standards and the needs of our customers.”

Mike Cline, president of the Tipton County Board of Commissioners, told the Kokomo Tribune that a request for a tax abatement on the property will be reviewed at the commissioners’ Dec. 17 meeting.

The Tipton County Council might consider the request Dec. 18, the newspaper said.

“The information will be coming out,” he told the Kokomo Tribune. “The company will determine when to make the announcement.”


 

 

ADVERTISEMENT

  • a building they shafted tipton with
    This building they built with tpton county funds and walked away from. Now that they need it and can buy it for 25% of the value, what a deal. We just keep helping these people who take advantage of us and with a smile. We need to give these guys the shaft like they do us.
  • Chrysler's plans
    This building was intended to be used by Chrysler & should be used by Chrysler for their Transmissions. With Chrysler being the fastest growing Auto company on the planet & Sales gains leading the entire industry & market share growing faster than any other company They're going to need more plants for production. American workers & the US economy and ultimately the Consumer are the winners. Go take a test drive & see the world class product Chrysler / Fiat is putting out, as opposed to the Junk that Daimler made them build, when Daimler sucked every single good thing from Chrysler to keep their own Junky Mercedes products a float! Chrysler is back & we should applaud them!
  • Getrag
    Your info is being validated

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
ADVERTISEMENT

facebook - twitter on Facebook & Twitter

Follow on TwitterFollow IBJ on Facebook:
Follow on TwitterFollow IBJ's Tweets on these topics:
 
Subscribe to IBJ
ADVERTISEMENT