Fenton Chrysler plant may get help

Fenton Chrysler plant may get help

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#1 Feb 15, 2010
Mexico Made

Saint Louis, MO

#2 Feb 15, 2010
Car czar’ in town Thursday. Bearing $1.6 million for Chrysler plant re-use?
By Tim Logan
St. Louis Post-Dispatch

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Is the region getting some federal help to find a re-use for Fenton’s vacant Chrysler plant?

It appears so.

“Car Czar” Ed Montgomery and other federal officials are scheduled to be in town Thursday, two sources told Building Blocks. And while they could not confirm the purpose of the trip, it may well be to announce a grant to plan re-use of the massive twin auto plants Chrysler shut down last year.

In December, the St. Louis County Economic Council applied for nearly $1.6 million from the U.S. Department of Commerce to address the question of what to do with the huge site along Interstate 44. Along with local contributions, that grant would fund two years of study of cleanup, marketing and incentives designed to get the facility back into productive use. At the time they were hopeful the grant would be announced early in 2010.

At least 20 U.S. auto plants have been shuttered in the last two years; few have found a new purpose so far.

Both the Commerce Department and local government offices were closed Monday for the holiday and unavailable for comment, but the sources said Montgomery and high-ranking Commerce officials were scheduled to make the trip Thursday.

Check back Tuesday for more details on this developing story.

P.S. Are you on Twitter? We are. Keep up with the latest in St. Louis-area real estate and development news by following here.

Nice!
Mexico Made

Saint Louis, MO

#3 Feb 15, 2010
President Obama’s car czar Ed Montgomery plans to visit Fenton on Thursday to announce nearly $1.6 million in federal funding to get the former Chrysler plant ready for re-use.

The money, which Missouri, St. Louis County and Fenton officials applied for last year, will go toward environmental studies of the plant so potential buyers would know the property's issues and how much it would cost to fix them, Fenton Mayor Dennis Hancock said. The funding from the U.S. Department of Commerce would also toward marketing the facility, he said.

St. Louis County officials and the City of Fenton are splitting the remaining 30 percent, or about $500,000, of the total $2.1 million price tag of the market analysis.

“It’s been awhile since we’ve had good news on the property,” Hancock said Monday.“This is the beginning of the next life of the property.”

The 5-million-square-foot property is for sale to the highest bidder, and prospective buyers have been taking golf cart tours of the sprawling complex.

Old Carco, formerly known as Chrysler LLC, hired Clayton, Mo.-based NAI Desco to market the Fenton property after interviewing several commercial real estate firms.

Old Carco has not established an asking price or a time-line for accepting bids, and is not entertaining offers to lease or subdivide the 295-acreproperty at I-44 and I-270 in South St. Louis County.

“They will evaluate all reasonable offers received,” said NAI DESCO principal Daniel Hayes, who is the listing broker with Vice President Floyd Sweeney.“They would like to be out as quickly as possible.”

Chrysler’s South plant, which assembled minivans, closed in October 2008.

Employees at the North assembly plant assembled Dodge Ram pickup trucks until it closed in July 2009. At its height several years ago, the two plants had a total of more than 5,000 employees.

Sweeney said he’s already started taking interested buyers on golf cart tours of the property that includes the South Plant that fronts I-44 and the adjacent North plant, which each total about 2.5 million square feet of space.

“We’re getting some interest from major manufacturers both foreign and domestic,” Sweeney said. The South plant is vacant, and the North Plant still contains some robotic equipment that could be negotiated as part of a sale. The property includes an on-site wastewater treatment facility, rail access and an electric substation.

Hancock said he believes the best use may be in razing the buildings and starting over.

“When I look at it that way, I see all kinds of potential, with its highway access and flat ground. It’s one of the most prime locations in the St. Louis region," he said.

Auburn Hills, Mich.-based Old Carco is seeking to sell seven shuttered assembly plants no longer owned by the “new” Chrysler Group. The Chrysler Group, which emerged from bankruptcy in June 2009, is owned in part by Italian carmaker Fiat, the United Auto Workers, and the U.S. and Canadian governments.

In November 2009, Old Carco sold a 272-acre, 3-million-square-foot former Chrysler plant in Newark, Del., to the University of Delaware for $24.25 million. The school is still evaluating long-term uses for the property, but in a statement said it will be used for creating a research and technology campus. The University of Delaware is holding an auction in February to sell off hundreds of pieces of machinery and equipment that it acquired as part of the sale.

http://www.bizjournals.com/stlouis/stories/20...
Mexico Made

Saint Louis, MO

#4 Feb 15, 2010
I like this part

"is owned in part by Italian carmaker Fiat, the United Auto Workers, and the U.S. and Canadian governments."

UAW!!!
Mexico Made

Saint Louis, MO

#5 Feb 15, 2010
The feds are coming to Fenton Thursday and they're bearing funds.

United States “Car Czar” Ed Montgomery and federal officials will be at the Chrysler assembly plants in Fenton Thursday (Feb. 18) to announce their approval of a $1.6 million grant to re-use the shuttered auto assembly plant.

The grant was applied for by the City of Fenton, the St. Louis County Economic Council and the state of Missouri in December, 2009, Fenton Mayor Dennis Hancock said. The money will be used to start the process to market the site, Hancock said.

“We found out last week our grant was approved,” Hancock said.“Initially our plan is to use part of the grant to fund two phases of environmental studies that will need to be done regardless of who does what to the site.”

“The studies will let somebody know that there’s nothing here they need to worry about, or if there is, then they‘ll know what it’s going to take to clean it up.”

The plants were shut down as part of Chrysler’s Chapter 11 bankruptcy proceedings. The North Assembly Plant closed in 2009 and manufactured the Dodge Ram 1500 and 2500 standard and Quad cab pickup trucks and the RamBox option. Production of those trucks moved to the Warren, Mich., truck assembly plant.

The South assembly plant was closed in 2008 and manufactured the Dodge Caravan, Grand Caravan and Chrysler Town & Country minivans.

Montgomery and members of the U.S. Commerce Department are scheduled to be at the South Assembly plant at 1 p.m.

“It’s nice to have some good news about that site for a change,” Hancock said.

“It’s been a while and I think it’s the kick off to a new beginning for that property.

http://www.globe-democrat.com/news/2010/feb/1...
TEAPEATEA

Florissant, MO

#6 Feb 15, 2010
Rumors are they in there painting and measuring the body shop.
board member

AOL

#7 Feb 15, 2010
Look at it being a possible site for a new football stadium.
Joe Dirt

United States

#8 Feb 15, 2010
Boy that D Hancock is a real piece as a mayor
Damage Control

Greencastle, PA

#9 Feb 16, 2010
You will quickly see how fast $1.2 million can be blown.
Mexico Made

Saint Louis, MO

#10 Feb 16, 2010
Damage Control wrote:
You will quickly see how fast $1.2 million can be blown.
Bah, look at what they did with $1 billion.

DaimlerChrysler invests $1B in St. Louis plants.

1-DaimlerChrysler invests $1B in St. Louis plants.
-- DaimlerChrysler said Monday that it will invest up to $1 billion in its two St. Louis plants, a move aimed at improving the assembly lines that currently produce the popular Dodge Ram truck as well as Chrysler and Dodge minivans.
With strides expected to be seen in 2006, the investment will be shared by the two plants, which employ a total of 5,500 workers.
"The new technologies, process improvements and infrastructure upgrades are evidence of our continuing improvement in the quality of Chrysler and Dodge vehicles and the competitiveness of our plants,"…

http://www.accessmylibrary.com/coms2/summary_...
Damage Control

Cicero, IN

#11 Feb 16, 2010
Damage Control wrote:
You will quickly see how fast $1.2 million can be blown.
I am Damage Control, not you.
Damage Control

Greensboro, NC

#12 Feb 16, 2010
Folks, don't be fooled by the imposter.
Damage Control

Cicero, IN

#13 Feb 16, 2010
Damage Control wrote:
Folks, don't be fooled by the imposter.
I am Damage Control, not you. You lost out on your Chrysler dealership sales job because of attitude or theft.
Damage Control

Greensboro, NC

#14 Feb 16, 2010
Damage Control wrote:
<quoted text>
I am Damage Control, not you. You lost out on your Chrysler dealership sales job because of attitude or theft.
Don't be fooled by the imposter troll folks. I am Damage Control and I know Chyrsler.
Damage Control

Cicero, IN

#15 Feb 16, 2010
Damage Control wrote:
<quoted text>Don't be fooled by the imposter troll folks. I am Damage Control and I know Chyrsler.
I am Damage Control, not you. You lost out on your Chrysler dealership sales job because of attitude or theft.
Damage Control

Saint Louis, MO

#16 Feb 16, 2010
Wrong Girls!!
Damage Control

Saint Louis, MO

#18 Feb 16, 2010
Damage Control

Florissant, MO

#19 Feb 16, 2010
There can only be one me!!!
Damage Control

Florissant, MO

#20 Feb 16, 2010
"A Cleveland-based consortium has made a $27.5 billion bid for Chrysler's Twinsburg, Ohio, stamping plant, which is among the bankrupt assets held by Old Carco LLC"



27 billion? That's funny!
Mexico Made

Saint Louis, MO

#21 Feb 16, 2010
Hey do we split that money up? Cuz you know the UAW owns 55% and we are all Brother and Sisters...

So we should get ours!!

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