State Land Department News & Information

State Land Department Announces  Auction Success With Volkswagen Of America, Inc.

PHOENIX, Ariz. (December 14, 2006) – The Arizona State Land Department today announced that Volkswagen of America, Inc. will pay $55 million for a 25-year lease on 11,900 acres of land 10 miles west of Gila Bend on which they plan to develop a new automobile proving ground.  

State Land Commissioner Mark Winkleman explained that Volkswagen has an existing automobile proving ground in Arizona, but they wanted to find a new location that would   meet their needs for a large, remote location near a major metropolitan area. After considering a number of sites, including at least three in other states, Volkswagen decided to stay in Arizona and bid for this new site.  

“We are thrilled that Volkswagen decided to keep their proving facility in Arizona, keeping business in our state is important for the future of our overall economy,” said Winkelman. “Volkswagen had specific requirements for their facility and we are very happy that today’s auction was successful and that this 25-year lease will give them the land they need while providing substantial support for Arizona’s schools. 

The Arizona State Land Department manages 9.3 million acres of Arizona State Trust Land. The proceeds from the sales of this land go to the beneficiaries of the Arizona State Land Trust Permanent Trust Fund, primarily Arizona Common Schools, supporting grades K-12. For more information about the State of Arizona Land Department visit www.azland.gov or call (602) 542-4621.