Chrysler Group buys test track, leases Harley-Davidson portion

BUYER: Chrysler Group LLC (Sergio Marchionne and Richard Palmer), Auburn Hills, Mich.
SELLER: Harley-Davidson Motor Co. Operations Inc.
PROPERTY: 5301 34th Ave. S.E., Naples
PRICE: $7 million
PREVIOUS PRICE: $6.5 million, December 2002
LAW FIRM ON DEED: Fennemore Craig, Phoenix, Ariz.

PLANS, DESCRIPTION: Automaker Chrysler Group LLC purchased a 531.02-acre private test track north of Interstate 75/Alligator Alley for $7 million.

The price equated to $13,182 per acre. That figure is below the two-year average price per acre for industrial space ($441,091) in Southwest Florida, according to the CoStar Group.

Chrysler plans to use the property's six miles of tracks to test a wide range of pre-production vehicles.

“We chose the facility because of the existing road surfaces on the track and the optimal weather conditions for our testing,” says Mike Palese, a spokesman for Chrysler. “We plan to perform a variety of automotive tests on the 2.1-mile straight away and the 1.1-mile ride-and-handling loop.”

The seller, Harley-Davidson Motor Co., agreed to lease back a portion of the track to test motorcycles and other specialty vehicles and 10,200 square feet within two buildings on the property. That lease will last through at least June 30, 2019.

Prior to 2002, the test track, which abuts the Big Cypress Swamp, was owned and used by Ford Motor Co.

Construction on the track and its associated buildings began in 1985 and ended in 1992, according to information from the Collier County Property Appraiser.

Chrysler received two mortgages on the property from Citibank NA for a total of $17 million.

Jim Garinger of Collier International Southwest Florida handled the transaction.

Formed in 2009, Chrysler Group LLC produces Chrysler, Jeep, Dodge, Ram, Mopar, SRT and Fiat vehicles and products.