GM Plans $37 Million Expansion of Lansing Assembly Plant

Oct 17, 2014 04:20 PM EDT | Jordan Ecarma

General Motors plans to expand its Delta Township facility in Lansing, Mich., by almost 210,000 square feet but hasn't yet announced what will be built in the extra space.

The automaker is investing $37 million into the assembly plant, which is where Buick Enclave, Chevrolet Traverse and GMC Acadia full-size crossovers are manufactured, the Detroit Free Press reported.

Whatever GM decides to do with the new square footage, the investment is a good sign for the area. The facility will grow by "more than 181,000 square feet to the north and south ends of the body shop, and roughly 28,000 square feet to the north end of the general assembly operation," according to the Free Press.

The project is expected to be completed by June 2016.

"It obviously shows a long-term commitment of GM to the capital region," said township Supervisor Ken Fletcher, as quoted by the Free Press. "It's great news for the region."

The city of Lansing has granted a tax credit that will cut GM's real property taxes in half for 12 years; even after the tax break, officials say the expansion project will bring in $4 million in new taxes. The revenue will be divided evenly between Lansing and Delta Township as part of a tax-sharing agreement.

GM is additionally spending $44.5 million to expand the Lansing Grand River plant, adding a 400,000-square-foot logistics center slated to open by early next year.

A Lansing film festival will celebrate GM's continued presence in the area by screening a documentary next month about a "keep GM" campaign that influenced the automaker to stay in Lansing a decade ago.

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