DETROIT -- General Motors is expected this week to complete plans to consolidate several Michigan powertrain engineering labs and testing operations into one building in Pontiac, Mich.
GM would invest $385 million in the project, which involves constructing a 431,000-square-foot building on its Pontiac North Campus. Michigan Gov. Jennifer Granholm approved a $25 million tax credit for the project. Pontiac also is expected to grant a tax abatement.
The project would bring to Pontiac 1,200 mostly white-collar employees from transmission engineering in Ypsilanti, Mich.; diesel engineering in Romulus, Mich.; hybrid engineering in Troy, Mich.; and other powertrain operations in Wixom, Mich., and Warren, Mich. These employees will join those who work on gasoline powertrain engineering at GM's Pontiac North Campus.
GM owns the land intended for the new powertrain building.
The automaker started consolidating powertrain engineering operations in 1997, when Flint, Mich., and Lansing, Mich., employees were moved to the Detroit area.
Buildings that are vacated as a result of the upcoming consolidation will be re-used, sold or torn down, GM says. The automaker would not disclose details about any potential financial gain from these moves.
The changes will not affect GM's vehicle integration and emissions-testing operation in Milford, Mich., or its Allison Transmission engineering operations in Indianapolis.