News - Ford
Ford Australia land disposal ‘to take years’
Land ahoy: The sales process for Ford’s Broadmeadows car assembly plant to potential buyers is expected to kick off in 2017, but might not be completed for two years.
Land remediation and other processes expected to stretch Ford land sell off to 2019
24 February 2016
FORD Australia says the process of selling off its Australian manufacturing
sites is expected to take several years, with properties housing the Victorian
factories at Broadmeadows and Geelong unlikely to change hands before 2019.
The company, which is set to bring a halt to its local vehicle production in
October this year, says remediation work on the factory sites needs to be
considered, along with a raft of other factors, before any property sale can be
Dismissing a rumour on Melbourne radio that an Indian motor company might be in
line to take over the Broadmeadows assembly plant where Ford currently builds
Falcon and Territory, Ford Australia communications and public affairs director
Wes Sherwood told GoAuto that the sale process and negotiations with
prospective buyers had not yet started, and would not begin until after vehicle
production had concluded.
“At the moment, we are focussing on production for the rest of this year,” he
said. “The sale process is unlikely to start before next year, and I expect it
will be a multi-year process.”
Mr Sherwood said that at a guess, sales of land packages might be completed in
Having housed a heavy manufacturing plant since 1960, the Broadmeadows site
needs to be audited for potential soil pollution from contaminants such as oil
and metals, and if found to be present, removed and the land rehabilitated.
The Geelong site has been a work site even longer, having started automotive
production with the T-Model Ford in 1925.
Not all the property will be sold off, with Ford Asia-Pacific’s vehicle
development operation retaining large chunks of the Broadmeadows and Geelong
At Broadmeadows, the current design centre will remain, while the former Ford
Australia headquarters office building is being renovated to house some of the
1000 or so engineers working on multiple global projects for Ford Motor Company.
The administration, sales, marketing and public affairs have all been moved to
a new office in the inner Melbourne suburb of Richmond.
Mr Sherwood said it was yet to be decided if two current engineering facilities
at Broadmeadows – in rented buildings in a light industrial estate that used to
be part of the Ford site – will be retained.
He said the vehicle development operation – with a total of 1300 staff to date
– was still growing.
“The head office building will only hold about 300 of them, so they will need
other space,” he said.
Just up the road from the main Ford facility, Ford’s largest Australian parts
warehouse and related Ford Customer Service offices will also remain to service
the import vehicle business into the future.
At Geelong, Ford will retain the engineering research and development centre
behind the current engine manufacturing, casting and stamping plants, with the
rest to be sold off.
That engineering facility has about 100-150 engineers and technicians, while a
further 300 or so engineers and associated staff work at the You Yangs proving
ground at Lara, between Melbourne and Geelong.
A new office block to accommodate many of the proving ground staff has been
built at the proving ground. To date, the expansion of work programs at the
facility has been so great that many staff have been housed in temporary