FEV North America Inc. plans to construct a $27.4 million North American headquarters and tech center north of Detroit in Auburn Hills.
The project, which is expected to create 246 jobs, is supported by a $1.2 million performance-based grant from the state of Michigan, the Michigan Economic Development Corp. said in a memo Tuesday.
The expansion will allow FEV to double its presence in Michigan, as it had reached capacity at its other Auburn Hills operations and at its facility in South Carolina.
FEV, the North American subsidiary of Germany-based FEV Group, is an engineering services firm specializing in the design, prototyping and development of gasoline, diesel and alternative engines.
The firm previously received a Michigan Economic Growth Authority credit in 2007 to expand its current tech center -- but only used a portion of the tax credit, electing to forgo the remainder of the credit to transfer to the Michigan Corporate Income Tax in 2012, the MEDC said.