Warren, MI mayor offers GM deal to move headquarters, Detroit officials counter
Earlier this month, General Motors CEO Fritz Henderson said in reference to the possibility that the automaker may move its headquarters from Detroit: "We're looking at, frankly, everything within our business, but it's not like we have that queued up at the top of our list. We don't have any such plan... but if we did it would be motivated by business rationale, which would be cost, efficiency and speed."
Apparently, Jim Fouts, mayor of the city of Warren, Michigan, was paying attention. In an effort to lure General Motors from its current Renaissance Center headquarters in the heart of Detroit. The Detroit News reports that Fouts has hand-delivered a letter to the automaker's top brass outlining what he describes as "an offer they will find hard to refuse." Fouts goes on, "I've done everything I can humanly and legally do to induce General Motors to make this wise, economical move." That offer reportedly includes the largest set of tax breaks ever offered in the state of Michigan.
Not surprisingly, Detroit Mayor Dave Bing, Governor Jennifer Granholm and Wayne County Executive Robert Ficano are less than enthused about the idea of GM moving to Warren. Ficano says, "We got together and asked what tools we have in our toolbox to tell the rest of the world that we're really open for business." Apparently, that toolbox holds its own set of tax incentives and abatements designed to keep GM in the RenCen.
All things being equal, it seems unlikely that General Motors would vacate its current headquarters to move to Warren, especially with an expected bankruptcy filing waiting in the wings. Either way, the ball is now firmly in GM's court.
[Source: The Detroit News | Photo: Bill Pugliano/Getty]
Reader Comments (Page 1 of 2)
hypermiler 4:32PM (5/29/2009)
Move HQ to UAW-free Deep South. Better yet, Shanghai.
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tuxchown 4:59PM (5/29/2009)
I'd like to know what industry you work in so we could move that out of the country too.
Sea Urchin 5:27PM (5/29/2009)
How about that place Obama hangs out at?
compy386 9:13PM (5/29/2009)
Better China stuck with the $30 billion tab than us.
Yikes 8:43AM (6/01/2009)
tuxchown 4:59PM (5/29/2009)
I'd like to know what industry you work in so we could move that out of the country too.
Tuxchown, are you also one of those Michiganders calling for the boycotting of good and services from the south? That was a disgusting article in the Detroit News. You are all pissed off that southern states have new automotive factories from Mercedes, Hyundai, Kia, BWM.......I laugh that you claim the "south" is "out of the country".
grimrealist 4:39PM (5/29/2009)
quit the spam azzhat
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Cliff 5:11PM (5/29/2009)
I don't want to see them move, however it would not be an illogical move. GM's North central Tech Training Facility is there also.
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Erik 5:47PM (5/29/2009)
I think GM has other more pressing items to deal with at the moment than what part of Detroit Metro their HQ is located in.
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jpm100 8:00PM (5/29/2009)
If the economy wasn't hosed, the headquarters would be work at least half a billion.
warren 11:32PM (5/29/2009)
GM got themselves in so much trouble these past couple of decades from all the wheeling & dealing they've been doing instead of focusing on building really great cars and trucks.
Having the company's HQ up and move ten miles to the north would be a monumental waste of time and effort. The building is a good asset -- GM should be using it as bait to try and draw highly skilled engineers, designers and business managers away from other auto companies. I know I'd rather work in the RenCen than in some thoroughly uninteresting office complex in Warren.
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Yaroukh 7:54PM (5/29/2009)
Maybe with GM moving out FoMoCo would one day move back into the building they've built. ;)
jpm100 8:03PM (5/29/2009)
"GM got themselves in so much trouble these past couple of decades from all the wheeling & dealing they've been doing instead of focusing on building really great cars and trucks."
Backwards.
GM got in trouble trying to bring good product (has the best lineup in decades just shaping up now) and correcting the wheeling and dealing of the 3 decades prior to this one. Both those made it capital poor so it couldn't weather this downturn.
AZZO45b 9:19PM (5/29/2009)
Do yourself a favor & Google "GM Tech Center"... it is anything but "bland & boring". You are thinking cookie cutter office complex that has been built the last 10-20 years... the Tech Center ain't your typical suburban office park!!!
Yaroukh 10:48PM (5/29/2009)
@AZZO45b: Is it this?
http://upload.wikimedia.org/wikipedia/commons/7/74/General_Motors_Technical_Center.jpg
That is probably even more boring than FoMoCo HQ.
AZZO45b 2:11PM (5/30/2009)
No Yaro... I'm sure google gave you much more of a variety...
http://www.carofthecentury.com/versai34.jpg
http://revengeoftheelectriccar.com/wp-content/uploads/2008/11/tech-center.jpg
This one gives you a history of the complex:
http://wiki.gmnext.com/wiki/index.php/GM's_Design_Studios_Move_to_the_Technical_Center
Yes, some people say that Eero Saarinen's architecture has grown dated... however you can't classify it with mid 80's/ 90's suburban bland of strip malls & office parks that you seemed to mention in your first comments.
The Design Office Lobby's suspended staircase over the shallow water pool & the aluminum wall art is still inspiring to the designers that walk to their respective car or truck studios. JMO.
skicat 1:31PM (6/01/2009)
AZZO45b
As the old saying goes: location, location, location.
I worked across the street from the RenCen for 6 years. Football, baseball, hockey, casinos, concerts, theater, art galleries and great restaurants all within walking distance. (Well, maybe not in winter. But then u can use the people mover.)
And in beautiful downtown Warren... um, uh.
Jake 6:03PM (5/29/2009)
Were I a mayor of a town, I'd be trying to attract businesses that aren't going bankrupt.
But that's just me, I don't live in Michigan so maybe I don't get it.
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Michael Flux 7:21PM (5/29/2009)
He's just a huge fan of all things American. A week ago or so, he actually was on TV proclaiming that he'll fire any of his employees who buys a non-American car.
Protzenegger 8:22PM (5/29/2009)
I think "huge douchebag" would be more correct, with apologies to Elon Musk.
Yaroukh 7:52PM (5/29/2009)
That would be very symbolic move with significant impact on image. Either it could say "we're moving from dying Detroit because we're the new company" or it could also be interpreted as "the rats leave a boat". Hard to tell...
Nonetheless I don't believe it will happen.
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