Nanjing Auto signs long-term lease for MG-Rover plant

In the latest episode in the soap opera that is Nanjing Automobile's attempt to revive the MG-Rover brand, the Asian concern announced that it has signed a 33-year lease for the British marque's idle facility in Longbridge.

The first year of the lease puts the Chinese automaker on the hook for about $3.14 million this year, on top of the more than $92 million it paid to buy the bankrupt company last year. But before MG-Rover fans get too excited, other reports say that the lease has a 6-month exit clause if Nanjing's plans don't work out.

Nanjing has said that it intends to employ 1,200 workers at Longbridge by 2007, producing sedans and sports cars, but no concrete plans appear to be on record thus far.

[Source: Reuters UK]