OXNARD, CA-Volkswagen Group of America Inc. has started construction on what it says will be one of the automobile industry's most advanced emissions testing and powertrain development facilities. Quattro-Del Norte, LLC, an affiliate of Oxnard-based BLT Enterprises, is building the 63,500 square-foot facility for Volkswagen, according to BLT chief development and legal officer Rob Solomon.

Volkswagen will use the facility for a number of its brands, including VW, Audi, Lamborghini, Bentley and Bugatti. The operation will also include a customer service support center for Bugatti dealers and customers in North and South America.

Solomon cited the permanent economic impact that the new facility is expected to provide. "In addition to the hundreds of construction jobs, the new facility is expected to generate 2,500 hotel room nights per year as engineers from around the world will visit and work at the center," he said in an announcement regarding the new project.

The new facility will replace Volkswagen Group of America's existing facility in Westlake Village, CA. The new project will be located on a 4.5 acre site at 201 Del Norte Blvd. Under the terms of the build-to-suit, Volkswagen signed a long-term lease with expansion rights, according to Solomon. CB Richard Ellis represented both Quattro and Volkswagen Group of America in the transaction, with Paul Farry of the CBRE Camarillo office representing Quattro, while Volkswagen was represented by Nick Gregg and Bob Boyer from the Camarillo office and Paul Beitz from the Detroit office. Construction is expected to be completed in the second quarter of 2012.

The Volkswagen Group of America facility also will be one of the most sustainable buildings of its kind in the automotive industry and will seek LEED certification, according to Solomon. BLT will use the proceeds from a new type of tax-exempt private activity bond created by the American Recovery and Reinvestment Act to finance construction. BLT will be responsible for the repayment of the bonds, which will be issued by the California Enterprises Development Authority and purchased by Wells Fargo Bank.