Stellantis Is Selling Its 4000-Acre Proving Grounds in Arizona

If you’re in the market for a test track, and if you don’t mind the scorching desert heat, Stellantis has a property you might be interested in. The group is selling its proving grounds close to Yucca, Arizona.

“Stellantis continues to look for opportunities to improve efficiency and optimize its footprint to ensure future competitiveness in today’s rapidly-changing global market,” a Stellantis representative explained in a statement sent to CNBC. Put another way, closing the proving grounds is primarily a cost-saving move.

The facility has an interesting history. It was home to an Army Air Corps training field until Ford bought it in 1954 and turned it into a proving ground the following year. Setting up shop in the desert isn’t as odd as it might sound. The property is located in a remote part of Arizona, so it’s far from prying eyes, and the desert climate makes hot-weather testing possible. Ford sold the entire facility to Chrysler for $35 million in 2007 and its brands have used it to develop cars since. Harley-Davidson has tested bikes there, too.

Zooming in on Google Maps reveals that the facility includes just about every type of track imaginable. There’s a huge oval, a smaller slalom track, several straights, and even what looks like an off-road course. The property also holds numerous buildings including office blocks, garages, and a control tower.

Stellantis told CNBC that closing the facility will affect 41 employees. It added that it’s working with the local United Auto Workers (UAW) chapter to “offer proving ground employees special packages” and that some will be given the opportunity to move in order to continue working for Stellantis. However, they could also be placed on an indefinite layoff, “which would entitle them to pay and benefits for two years.”

There’s no word on how much Stellantis is asking for the facility; it’s not exactly the kind of property you find on Zillow. The group plans to close the proving grounds by the end of 2024, and it will begin using Toyota’s proving grounds near Phoenix (which the brand opened to rival carmakers in 2021) in early 2025.

Zooming out a bit, there sure seems to be a lot of cost-saving happening at Stellantis right now. The automotive conglomerate slashed 15.5% of its workforce between December 2019 and late 2023, according to the same report, and it offered white-collar workers a buy-out package earlier in 2024. The group issued a profit warning in September 2024, a few days after dealers criticized CEO Carlos Tavares in an open letter.