The Palace of Auburn Hills Is Gone — But a $278M Auto Plant Is Rising in Its Place. Here's What It Means for Oakland County.

The Palace of Auburn Hills is gone — but a $278M auto plant is rising in its place, and here's what it means for Oakland County: more jobs, stronger home demand, and a meaningful shift in the economic weight of communities like Auburn Hills and Orion Township.

From NBA Arena to Auto Plant: What's Happening at the Palace Site

If you've driven past the old Palace site recently, you already know the skyline has changed. The GM/Piston Group facility going up there will support production at nearby Orion Assembly, which is ramping up early next year for the Chevrolet Silverado, Sierra, and Cadillac Escalade. This is a just-in-time seating operation — tightly synchronized with the assembly plant — which means it needs to be close, and it needs people. That's where Rochester and surrounding communities start to feel the impact.

Separately, a 460-job supplier announcement near Orion Assembly adds another layer. Lear Corporation won this seating contract after GM pivoted back to gas-powered vehicles from its earlier EV focus. The original EV seating contract had gone to Magna, which built a plant adjacent to Orion that's now underutilized — a reminder of how quickly the auto industry's direction can shift, and how much Oakland County's real estate market moves in lockstep with it.

Why Auto Jobs Hit Different in Metro Detroit

In this region, a direct auto job isn't just one job. It generates significant downstream economic activity through the supplier chain, local services, and household spending. Multiply that across 460-plus positions at living wages, and you're looking at a real ripple through Auburn Hills, Orion Township, and the broader Oakland County housing market.

More employed residents means more buyers competing for homes, more demand for rentals, stronger tax bases supporting local schools, and more foot traffic for local businesses. For homeowners already in these communities, that kind of demand growth tends to show up in property values over time. Find out what your home is worth →

What This Means For You

• **Auburn Hills and Orion Township** are at the center of this activity — buyers looking in Oakland County's northern corridor may want to move sooner rather than later

• **Plant production launches early next year**, which means hiring timelines and housing searches are already underway

• **Oakland County school districts** stand to benefit from an expanding commercial tax base tied to major manufacturing investment

• **Investors and homeowners** near the Orion Assembly corridor should be watching inventory levels closely — job announcements like this tend to compress supply Find out what your home is worth →

The Palace of Auburn Hills is gone — but a $278M auto plant rising in its place, combined with the Lear supplier expansion, signals that Oakland County isn't standing still. This is what reinvention looks like in Metro Detroit.

Curious how your specific neighborhood fits into these trends? Explore more on the Z Real Estate Experts blog.

Frequently Asked Questions

What is being built at the former Palace of Auburn Hills site?

A $278 million manufacturing facility developed by GM and Piston Group is replacing the former arena. The plant will operate a just-in-time seating production line supplying GM's Orion Assembly plant, which is launching production of the Silverado, Sierra, and Cadillac Escalade early next year.

How will the new auto plant affect home values in Auburn Hills and Orion Township?

Direct auto manufacturing jobs typically generate significant downstream economic activity across suppliers, services, and local spending. Increased employment in the area tends to drive housing demand, tighten inventory, and support property value growth — particularly in communities close to the plant and assembly operations.

Why did GM switch from Magna to Lear for the Orion Assembly seating contract?

GM shifted its vehicle strategy away from electric vehicles back toward gas-powered trucks and SUVs. The original EV seating contract had been awarded to Magna, which built a facility next to Orion Assembly that is now underutilized. Lear won the new contract aligned with Silverado, Sierra, and Escalade production.

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