The Auto Writer

At one time all three of America’s current major automakers were headquartered in Detroit, but that city long ago lost its sheen and today in many ways looks worse off than some third world cities. Chrysler is now based in Auburn Hills, Ford is in Dearborn, but General Motors still sits along the Detroit River opposite Windsor, Ontario and occupying the beautiful, glimmering RenCen complex.

One Detroit suburb, Warren, however is looking to poach GM from the Motor City and, according to the Detroit Free Press, is prepared to offer tax incentives and other perks to encourage GM to leave. Warren is already home of GM’s state of the art research park and would be a natural destination if GM were to take that suburb up on whatever deal is offered to them.

What Warren Brings To General Motors

The city of Warren sees itself as an important ally to GM and is heavily vested in its success. If the automaker fails to restructure, the impact on Detroit and surrounding communities would be devastating, clearly something Warren officials don’t want to see happen.

Warren also boasts a lower tax rate than Detroit and, as is usually the case, a much lower crime rate than its big neighbor.  In addition, unlike Detroit, Warren doesn’t have income taxes which should strengthen the city’s appeal to GM management.

Lots Of Land Available For Development

GM has plenty of land available at the Warren tech center to build a corporate office too. With most of GM’s main operations on one campus, a lower tax burden and a better place to live, the city of Warren just may be what a restructured GM needs to move forward.

Of course, should Detroit lose its major taxpayer, the city would be thrown into complete financial chaos, something the Obama administration would be loathe to allow to happen. With the federal government exerting tremendous pull over GM’s business, any move by GM would have to be approved by President Obama, a political hot potato that could have profound repercussions for many years to come.

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