Nissan moving HQ to Tenn, Calif Taxes Reason

[ALS]

Nissan moving North American headquarters to Tennessee
November 10, 2005, 12:46 PM


NASHVILLE, Tenn. (AP) -- Nissan Motor Co. said Thursday it is moving its North American headquarters from California to the Nashville area.

"The board of Nissan decided to relocate our North American headquarters, and we're coming to Tennessee," Nissan CEO Carlos Ghosn said at a news conference at the state Capitol attended by Gov. Phil Bredesen and other top state officials.

The headquarters, which has been based in Gardena, Calif., will move to Williamson County, a fast-growing suburb south of Nashville.

Ghosn said the company will invest $17 million to build a new headquarters building. The first employees will transfer to Tennessee next summer.

The nearly 1,300 people employed at Nissan's Los Angeles-area headquarters work in management, marketing, advertising, sales and distribution and dealership development for North America.

Ghosn cited lower real estate and business taxes as major reasons for the move.

"The costs of doing business in Southern California are much higher than the costs of doing business in Tennessee."

Nissan currently has a manufacturing facility in Smyrna and an engine plant in Decherd and employs more than 7,000 people in Tennessee.

Shares of the company rose 1 cent to $19.89 in midday trading on the Nasdaq Stock Market.

 

[Schmoe]

Money, money, money.....that's all it is.

 

[ediamiam]

They must have been waiting for the results of the propositions to determine which way California was going. I guess Arnold couldn't talk them into staying.

 

[ToyotaNSaturn]

They'll be glad they did. The costs are lower (no surprise) and the community they're landing in is quick to foster business growth. Employees will like the social part of the deal as the style of living here is surprisingly nice.

 

[ediamiam]

They can cash in on their expensive California homes and buy mansions in their new location

 

[SixPak]

I got taxed out of Michigan a few years back.

they reduced and capped property taxes statewide, but raised sales taxes and instituted real estate transfer taxes, and who knows what else taxes. the local school district made up for lost revenue by getting a special millage passed by eliminating sports/band/etc, till they got their money.

I saw this coming and got outta there, post haste.

property taxes where I was living before the 'tax cut' were $2900.00 a year. when I sold the house, the new owners were paying $4100.00 a year, with the 'tax cut' in place.

(btw, bought house for 82k, sold it for 99.5k)

I came to realize than whenever politicians say that they plan on lowering taxes, the reality is taxes will be raised in one or more other places so you ultimately wind up paying more.

GHW Bush had it right when he said, and I'm paraphrasing here:
'when ever you hear politicians promising tax cuts, hold on to your wallets Mr. and Mrs. America, cause they're coming after them'.

 

[PandaBear]

Yeah, too many businesses and people in California. We need every possible way to move people out (including me) and balance the entire country. A co-worker of mine sold his town house recently because the morgage and tax is too much (10k property tax for a town house), and the price is right. By renting he cut his payment by 2/3 and he accumulate equity faster than having a house.

Let's get NUMMI out of here and use those land for more houses, add some road to relieve the traffic, and move those worker to a place that they can afford better quality of living.

Everybody happy.

 

[Drew]

More California Bashing:
The same people who ruined their state by electing politicians who raised taxes on individuals and businesses to pay for every socialized program possible for both citizens and illegal aliens are now leaving in droves and doing the same thing in other states!
**** Califonians are now ruining the lovely state of Colorado with their stupid ideology that ruined their state.

 

[PandaBear]

Drew:

The ones who left California for Colorado are the "conservative" Californians. You haven't seen the "liberals" yet.

 

[GROUCHO MARX]

One of the great quotes of all time.

Muhammed Ali was asked why he was defending his title in Houston instead of Madison Square Garden in the mid-sixties.

He replied, "Because Houston is in the heart of Texas, and New York is in the heart of taxes."

 

[GeaugaFletcher]

Talking to a geologist recently disappointed me. She said the San Andreas fault is one that shears - meaning Califlakia won't fall into the ocean, it's slowly cruising up the coast and will wind up in Canada someday.

$10k for town house property taxes? Good grief. I remember visiting San Diego - the climate isn't worth that much money to me, that's for sure.

 

[Al]

Sell it back to Mexico

 

[Cutehumor]

I read in the Tennessean newspaper that the Nashville move will bring 1300 jobs paying $80k/yr to Nashville area.

 

[PandaBear]

quote:

---

$10k for town house property taxes? Good grief. I remember visiting San Diego - the climate isn't worth that much money to me, that's for sure.

---

For a typical $700k to 800k townhouse, thats about right. Heck, even a condo cost $550k here.

 

[ALS]

Down in Naples you can't get a condo on the beach for much under $1 Million. 5 years ago condos in my moms building were going for $500K to $600K. They hit 900K in the spring and one across the hall a floor down sold last month for $1,000,000.
About 6 years ago they built a building next to hers where the lowest priced unit was $750K with the 2 Penthouses going for 5 Million for the one facing the bay and 5.5 million for the one facing the Ocean. The building was sold out in 90 days. The biggest complaint is how people with average jobs can no longer afford to live in the area. The difference between Naples and southern California is 5 miles inland you can get a nice house with an acre or two for under 150K. Once you get east of Route 41 (1/2 mile) from the beach the prices drop pretty quickly.

 

[PandaBear]

I just saw on cnn.com that Naple is the most overpriced area in the US.