ATLANTA—New Jersey Governor Chris Christie did his level best to keep Mercedes-Benz USA (MBUSA) in his state. But despite the Republican governor's efforts the German car giant its moving its corporate headquarters to Atlanta, as my colleague Steve Lubetkin reported yesterday.
The reason is two-fold. Mercedes believes it can better serve its growing customer base from the southeastern city. The automaker is also betting the move will strengthen its position for long-term sustainable growth.
"Atlanta is a premier city which places us closer to our ever-growing Southeast customer base, our port in Brunswick, Georgia, and to Mercedes-Benz US International, our Alabama manufacturing facility, which accounts for half of the vehicles we sell here in the US,” says MBUSA president and CEO Stephen Cannon. “For our employees, Atlanta offers a strong quality of life, terrific schools and wonderful cultural and recreational opportunities."
Christie has granted $1.6 billion to 81 development projects in the past year, including a $118 million tax break that kept Subaru of America in New Jersey. But Atlanta is getting the windfall in MBUSA's move.
“The relocation of Mercedes-Benz's U.S. headquarters to Georgia is a huge win for our state,” says Georgia Gov. Nathan Deal. “This internationally renowned company is a pioneer in the automotive industry and I'm confident that its legacy of high-quality, innovative products will continue with the help of the Georgia's pro-business environment and strategic resources.”
According to the Atlanta Business Chronicle, Mercedes will invest about $100 million in over 200,000-square-foot build-to-suit headquarters. The company will construct a new, state-of-the-art headquarters expected to be completed in early 2017. The impact on the economy could be significant. The relocation could bring up to 1,000 jobs to the region.
“Much like the many other global companies headquartered here, Mercedes-Benz will find that Georgia's community-based, community-driven support will benefit its employees during this time of transition,” Deal says. “I look forward to building upon our new partnership in the years to come, and I thank Mercedes-Benz for entrusting its future success to Georgia.”
The Southeast has won its fair share of automakers in the past decade, with Nissan, Kia, Volkswagen, and now Mercedes setting up shop here. Porsche Cars North America is opening a $100 million headquarters near Hartsfield-Jackson Atlanta International Airport later this year.
"New Jersey has been a wonderful home to our U.S. operations for our first 50 years, and still is today," says Cannon. "The state has worked tirelessly with us as we evaluated our options. Ultimately, though, it became apparent that to achieve the sustained, profitable growth and efficiencies we require for the decades ahead, our headquarters would have to be located elsewhere. That brought us to Atlanta.”
Atlanta Mayor Kasim Reed extended a warm welcome to Mercedes and its employees who will soon establish new roots in the metropolitan Atlanta area. “Every day, companies are voting with their feet, choosing the City of Atlanta and the metro area to bring their dreams and build their businesses,” he says. “My Administration will continue to work with our partners across the region to make metropolitan Atlanta the top choice for the businesses that call us home today and will call us home in the future.”
“Much like the many other global companies headquartered here, Mercedes-Benz will find that Georgia's community-based, community-driven support will benefit its employees during this time of transition,” Deal says. “I look forward to building upon our new partnership in the years to come, and I thank Mercedes-Benz for entrusting its future success to Georgia.”
The Southeast has won its fair share of automakers in the past decade, with Nissan, Kia, Volkswagen, and now Mercedes setting up shop here. Porsche Cars North America is opening a $100 million headquarters near Hartsfield-Jackson Atlanta International Airport later this year.
"New Jersey has been a wonderful home to our U.S. operations for our first 50 years, and still is today," says Cannon. "The state has worked tirelessly with us as we evaluated our options. Ultimately, though, it became apparent that to achieve the sustained, profitable growth and efficiencies we require for the decades ahead, our headquarters would have to be located elsewhere. That brought us to Atlanta.”
Atlanta Mayor Kasim Reed extended a warm welcome to Mercedes and its employees who will soon establish new roots in the metropolitan Atlanta area. “Every day, companies are voting with their feet, choosing the City of Atlanta and the metro area to bring their dreams and build their businesses,” he says. “My Administration will continue to work with our partners across the region to make metropolitan Atlanta the top choice for the businesses that call us home today and will call us home in the future.”
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