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BMW reacquires original factory as classic center

BMW was barely two years old when it started manufacturing airplane engines in a factory on Moosacher Strasse in Munich. Two years after that, it sold the factory to Knorr-Bremse AG, a leading manufacturer of brakes for trains and commercial vehicles, and BMW moved into a new facility on Lerchenauer Strasse. There it expanded into the industrial giant we know today, building engines for cars, trucks, motorcycles, boats and planes. It's taken the better part of a century to get that original factory back, but that's exactly what BMW has done, reacquiring the expanded facility from Knorr-Bremse this month.
The factory on Moonsacher Strasse will now serve as the headquarters for BMW Group Classic, the division that handles archives and historical vehicles for BMW, Mini and Rolls-Royce. From there, just a stone's throw from corporate headquarters and its main plant (as well as BMW Welt and the BMW Museum), the classic division's operations will include a restoration workshop, vintage parts store, the company's archives, administration as well as a place to hold events. In addition, there will be an exhibition space for historical vehicles from the company's considerable collection.
At the heart of the new/old campus is the gatehouse, which is a protected heritage site and will serve as a gateway into the company's history. Read the full details in the press release below.

BMW 1 Series sedan prepares to fight Mercedes CLA, Audi A3

The entry-level premium sedan segment is pretty hot right now, with the Audi A3 and Mercedes-Benz CLA-Class doing well for their respective automakers here in the US. Of course, BMW has its 2 Series, but that's currently only available as a coupe, with a convertible bodystyle forthcoming. That all looks to change, however, as our spies recently caught BMW testing a four-door 1 Series sedan that seems to have the A3 and CLA clear in its sight.
BMW's entry-level four-door is expected to ride on the same front-wheel-drive UKL platform that we recently spied in Mini Countryman form. We're pretty sure this thing will launch under the 1 Series line (odds for sedans and wagons, evens for coupes and convertibles), but it's anyone's guess with BMW - after all, the five-door, front-drive Active Tourer wears a 2 Series nameplate.
Look for the 1 Series sedan to launch sometime in 2016 as a 2017 model. Better late than never in the entry-lux segment, we suppose.

A look back on BMW, South Carolina and Southern manufacturing

It has been 20 years since BMW broke ground on its Spartanburg, SC manufacturing facility, and while the automaker doesn't have any plans to mark the moment, economists and industry analysts have taken a closer look at the facility's impact on South Carolina, the South and global manufacturing. As of November, the Spartanburg plant's 7,000 employees cranked out 25,000 vehicles per month, and BMW has poured some $6 billion into the state since the plant opened in 1993. While that figure nearly matches the state's proposed budget for next year, some say there have been drawbacks.
To begin with, South Carolina provided BMW with hundreds of millions of dollars worth of public money and tax breaks with little public oversight, setting a precedent that would repeat itself with other corporations. The Detroit News reports that a Pew Center evaluation found 26 states didn't have a sufficient system for evaluating tax incentive performance. But BMW opened the door for a Southern manufacturing renaissance, with automakers from Mercedes-Benz to Hyundai and Volkswagen opening plants in the Deep South.
While states have raced to offer ever sweeter tax and cash incentives for big manufacturers, officials say BMW is proof the system can pay dividends. You can read the full piece here.