Saab pondering Detroit suburb for new U.S. headquarters?
Having concluded the relationship with its former sugar daddy, GM, Saab is scouting locations for its new corporate headquarters to make a fresh start. According to one report, that location could be Royal Oak, Michigan, about fifteen miles from Detroit.
Saab apparently has $2.2 million to invest in a new HQ over the next five years, where it plans to house "mostly sales and marketing functions." The building in question is 13,000 square feet and boasts the few amenities necessary to Saab's situation: offices for 50 people and a large garage.
A Saab spokeswoman said Royal Oak is "trendy" and fits "our customer demographics." Finalizing the deal looks to rest on Royal Oak providing tax abatement, which hasn't been decided yet. Even if the city does give Saab some help moving in, the longer-term story is Saab's possible return to New England: the company began in Connecticut when it first came to U.S. shores. And with other upmarket European brands having decided that the Midwest simply didn't cut it, it wouldn't be a surprise.
[Source: Saab History]
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Reader Comments (Page 1 of 2)
arcsine 10:18AM (10/12/2009)
Royal Oak _was_ trendy. In the 90s. Now it's kinda like the guy with the skinny jeans and the receding hairline in the nightclub desperately trying to convince people he's still relevant.
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Tool 12:15PM (10/12/2009)
@arcsine "Royal Oak _was_ trendy. In the 90s. Now it's kinda like the guy with the skinny jeans and the receding hairline in the nightclub desperately trying to convince people he's still relevant."
That would be perfect then. SAAB is trying to be relevant.
Seriously, why would any automaker consciously choose to headquarter in Detroit? The f*cked-up mindset that exists in Detroit is awful. HQ in NJ where BMW and Mercedes have their sales operations. Steal some of their talent.
And whatever you were doing when you were a subsidiary of GM . . . do the complete opposite.
arcsine 1:16PM (10/12/2009)
>Seriously, why would any automaker consciously choose to headquarter in Detroit?
Uh... Awesome. Our economy and unemployment rate thanks you immensely. I should've known when I saw "tool responded to your comment" in my inbox...
spitfire2332 1:44PM (10/12/2009)
because regardless of what you think, southeast Michigan is still the automotive engineering capital of the world.
Venom 9:29AM (10/12/2009)
They should go to Rochester Hills.
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John B 9:30AM (10/12/2009)
Despite all of the excitement surrounding the launch of the new 9-5, to me it already looks like an old model. If it looks out of date now before it has even gone on sale, just how old is it going to look in 5 years time?
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Lamborrari 9:33AM (10/12/2009)
I'd like for them to stay in the Detroit area. I'm from Chicago and it would mean a better chance of me seeing a prototype Saab testing around local US roads.
Going out east would be a better business plan, though, for a European automaker's US headquarters. VW-Audi recently moved to Virginia from Michigan and Volvo moved from California to New Jersey. BMW and Mercedes-Benz are also both based out of New Jersey.
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carbitch 9:37AM (10/12/2009)
Connecticut sounds right. I know that BWM, MB, Porsche, Land Rover, Jaguar and even Subaru are in NJ within close proximity to NYC, so a move to CT within close proximity to NYC makes sense.
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mikeyb88122 10:40AM (10/12/2009)
Ummmmm Porsche Cars NA is in Atlanta, not New Jersey.
Porsche has a training center in New Jersey, but their North American HQ is in Atlanta, just outside of Buckhead.
Patrick 9:38AM (10/12/2009)
Historically, I believe it was the Parkways coming from New York City into Long Island, Westchester, and Connecticut that gave European manufacturers their first inroads into the U.S. market.
Driving postwar American boats on these narrow, curving roads was (and still is) simply harrowing.
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Patrick 9:49AM (10/12/2009)
I'm going to guess that, as small as Saab is, this office is too small for a U.S. HQ and that this will be a supplier relations office.
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UH2L 10:44AM (10/12/2009)
As a longtime Saab fan and owner of a house in Royal Oak, that would be a dream come true.
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UH2L 10:44AM (10/12/2009)
Because I would want to work there.
Aznauto 11:03AM (10/12/2009)
One of the reasons for Big 3 failure is Detroit and the poor state of the city (resulted in Brain drain) and it surrounding. Not to mention Michigan's economic policies which are very anti business, resulting in high unemployment. So beats me why anyone would want to stay there let alone open new HQ, Texas or Tennessee would be my pick.
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Tim 11:16AM (10/12/2009)
While I absolutely love to blame stuff on governments, I think you'll find that the decline of Michigan and Detroit coincided with the decline of the Big 3. It is far more logical to say that the Big 3 caused the faltering of Detroit/Michigan, rather than vice verse. Fewer jobs, less tax revenue, etc, etc. That doesn't mean I'd choose to open an office in Detroit. While land is cheap (and $2.2 million is peanuts for 13000 sq ft commercial building plus garage), it seems like there are just better options. The Northeast is out of their range, but the Houston or DFW areas in Texas probably wouldn't be.
Bman 1:27PM (10/12/2009)
Tim is correct, The Big-3 shaped Detroit and the surrounding areas, not vice-versa. There is much to be learned from the rapid cultural and economic growth and eventual decline that has taken place there. Detroit is now more comprised of the suburbs then the actual city itself as people moved outward in the 50's guided by the automobile and the ability to commute easily.
Epsilon-Not 11:55AM (10/12/2009)
It seems like moving to New England would make the most sense- I mean, that's where most of the Saab buyers seem to be. (Or at least, I've seen more of them there than in other parts of the country)
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jim 1:17PM (10/12/2009)
Probably 70% of the Saabs sold in the US are delivered in the northeast so it would make sense. There are two, Saab only dealers within 50 miles of my house, which must be as rare as a solar eclipse.
mr.ed 12:05PM (10/12/2009)
My last visit to Royal Oak, we went to a BBQ joint, and just as our dinner was served, four guys at the next table lit up huge dog turd cigars. Management was no help, so we walked out, leaving about $100 worth of food on the table. Unless the city's gone smoke free, I have two words for RO, and they ain't Happy Birthday.
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Venom 12:37PM (10/12/2009)
That is unfortunately Michigan's biggest problem is that the rubes that live here just cannot get with the times and stop the cigarette and cigar smoking.
I quit going to the bars almost entirely because I hated coming home and stinking like cigarette smoke, and all my clothes and car smelling like smoke.
And the crappy bar owners won't even invest in the proper units that clean the air or they don't keep them running properly.