Rivian Automotive Takes Over Former Mitsubishi Plant in Illinois
In a surprising turn of events, Rivian Automotive, a relatively obscure electric vehicle manufacturer based in Florida, has acquired a defunct Mitsubishi factory, originally valued at $100 million, located in Illinois.
Last month, Rivian finalized the purchase of the expansive 2.4-million-square-foot facility in Normal, Illinois. The company intends to invest $175 million and hire up to 1,000 employees by 2024 to initiate production of an undisclosed electric vehicle. To support this venture, the Normal city council approved a $1 million grant and offered tax breaks, as reported by Teslarati.
The Mitsubishi plant had undergone $100 million in upgrades to produce the Outlander Sport but was shuttered in 2016 following disappointing sales, despite once employing 3,000 workers. Rivian’s upcoming electric vehicle is projected to begin production in 2019.
Founded in 2009 by R.J. Scaringe, Rivian began as Mainstream Motors and has kept a low profile until recently. Initially, the company aimed to develop a mid-engine sports coupe with exceptional fuel efficiency using a conventional gasoline engine. However, the company pivoted to focus on electric vehicles and rebranded itself twice—first to Azera and then to Rivian Automotive in 2012—after a trademark dispute with Hyundai regarding the similarity of names.
Rivian has beneficially secured funding, including $1.5 million from the state’s Space Florida organization and a $2 million grant from the Florida Office of Energy, which allowed it to create a lightweight modular prototype vehicle. This prototype was delivered to NASA in 2012 and later leased back to Rivian for research purposes. Although Rivian had plans to launch a vehicle in 2012, it adjusted its strategy after reassessing market conditions. Following its contract with Space Florida, Rivian moved to Michigan in 2015.
Details on Rivian’s recent activities at its Livonia, Michigan headquarters remain scarce, and the company has not commented on inquiries from The Drive as of publication. Rivian’s updated website highlights its "flexible" electric vehicle platform, which aims to enhance utilization through diverse sharing arrangements.
While electric vehicle start-ups are becoming increasingly common—illustrated by recent high-performance luxury models from companies like Lucid Motors and Faraday Future—Rivian may differentiate itself by not directly competing with Tesla. Instead, CEO R.J. Scaringe has maintained a focus on developing a budget-friendly vehicle priced between $25,000 and $28,000.
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