Business

Upside Down: Tech Group Agrees to Pay $90M for Solyndra Building That Cost $300M

When TheBlaze reported on Monday that a whole bunch of discarded Solyndra tubes had been turned into a modern art display, we wondered whether this “green” energy boondoggle could get any sadder.

Turns out, it can.

“Seagate Technology Plc, maker of hard drives and storage devices, has agreed to pay $90.3 million for the former manufacturing plant and headquarters building of bankrupt Solyndra LLC, which was financed by a controversial government loan, according to bankruptcy court documents,” Reuters reports.

So what’s the problem? At least the Solyndra building is one step closer to being sold, right?

Well, considering that the building originally cost $300 million, we’d say this is pretty depressing.

“Seagate’s offer will be considered an initial bid, or ‘stalking horse,’ which could be topped by a competing offer of at least $1 million more when an auction is held, according to court documents filed late Wednesday,” Reuters reports.

“Should a higher bid emerge, Seagate would be entitled to a breakup fee of $1.8 million, a little less than 2.6 percent of the technology company’s offer,” the report adds.

And Seagate wasn’t alone in its interest in the facility.

The Solyndra building “attracted interest from U.S., Chinese and European companies involved in industries such as solar energy, medical-related products, data centers and other technologies that need an ultra-clean manufacturing environment,” the report adds.

“The highest bid came from Seagate.”

Wait a minute. With more than just Seagate competing on the building, $90 million was the winning bid? Hot Air’s Ed Morrissey gives his take:

This was the best competitive price for the facility — only 30% of what the Obama administration gave Solyndra to build it in the first place. Perhaps Congress should dig further into the construction process at Solyndra to see why a facility built with $300 million of taxpayer money only had $90 million of value, because at first blush, it looks like a lot of money went elsewhere than the facility.

Of course, there could be a simple explanation that the people involved in the sale of the building simply aren’t telling us. The only thing that we know for certain is this: Taxpayers are never, ever going to get back the half-billion that went into this failed project.

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Comments (58)

1 2
  • PhineasJWhoopee
    Posted on August 26, 2012 at 1:20pm

    The building should be turned into a prison to house all of the obama regime and its crony thieves that have borrowed trillions from China then stole it all under the “go green” scam.
    I’m just not sure if its big enough.

    Report Post » PhineasJWhoopee  
  • MCDAVE
    Posted on August 25, 2012 at 10:45pm

    Watch for the 90 Million to disappear next..Should this money be returned to this pack of thieves?

    Report Post »  
    • db321
      Posted on August 26, 2012 at 9:36am

      Obama was right – Seagate Technology did not build that Building. The Tax Payer’s did and we paid $300 Million to build it and Seagate gets it for $90 Million. Change has come to America. Clinton and Obama are the only two Presidents in our History that could ever get away with this. There will be no mention by the Liberal Media. Not that I would ever tune into any Liberal News – they will never get my Cable Ratings.

      Report Post » db321  
  • right
    Posted on August 25, 2012 at 8:14pm

    The tax payers are screwed again.
    Thanks obama!

    Report Post »  
  • pissantno.10
    Posted on August 25, 2012 at 7:20pm

    dang would a made a good rope factory

    Report Post »  
  • mecanic
    Posted on August 25, 2012 at 5:52pm

    barry aka barrack + george s., valeri j. and many many more, + putin + evil = TREASON.

    Report Post » mecanic  
  • garbagecanlogic
    Posted on August 25, 2012 at 2:04pm

    Someone should check to see what ties they have to the obama admin.

    Praise Be To Obama. Psalm 109:8

    The U.S. Out Of The U.N.
    The U.N. Out Of The U.S.

    Report Post »  
    • Mil Mom
      Posted on August 25, 2012 at 7:48pm

      @garbagecanlogic
      Posted on August 25, 2012 at 2:04pm

      Someone should check to see what ties they have to the obama admin.

      Praise Be To Obama. Psalm 109:8

      The U.S. Out Of The U.N.
      The U.N. Out Of The U.S
      ****
      And may the prisons be full! (Not in the Scriptures but Americans are constantly against the death penalty, me I’d rather stick with it for TREASON!)

      Report Post » Mil Mom  
  • hades3
    Posted on August 25, 2012 at 1:30pm

    It’s clear how taxpayers get screwed, when government attempts to inject itself into the private markets. The one thing government does well is f–k up !

    Report Post »  
  • Tigress1
    Posted on August 25, 2012 at 1:01pm

    ” The only thing that we know for certain is this: Taxpayers are never, ever going to get back the half-billion that went into this failed project.”

    This may be true, but how about a little justice by putting the people involved behind bars? Shouldn’t the TAXPAYERS receive JUSTICE???

    Report Post » Tigress1  
  • EqualJustice
    Posted on August 25, 2012 at 10:59am

    Seagate tech? You mean the company where John W. Thompson was a director? Come on now. HOW TRANSPARENT and such a deal! Thompson was also a MAJOR contributor to Barack Obama and his inaugural committee. He was a MEMBER of the Financial Crisis Inquiry Commission and an attendee at a White House state dinner (3/14/2012) as an invited guest. Looks like SOMEONE is getting a HUGE reward here and again, the tax payer gets taken for a bundle!
    Thompson’s Donations over $3,000.
    Democratic Congressional Campaign Committee – $5,000 on 9/29/2011
    Obama Victory Fund 2012 – $5,000 on 9/16/2011
    Byron Georgiou for Senate – $-2,500 on 3/31/2011 (also a member of MEMBER of the Financial Crisis Inquiry Commission)
    Byron Georgiou for Senate – $5,000 on 3/31/2011
    Reid Victory Fund – $5,000 on 6/2/2010
    California Senate 2010 – $30,400 on 5/26/2010
    Actblue – $30,400 on 5/21/2010
    Democratic Congressional Campaign Committee – $15,000 on 6/24/2009
    Symantec Corporation PAC – $5,000 on 4/7/2009
    Symantec Corporation PAC – $5,000 on 1/9/2007
    Democratic Congressional Campaign Committee – $26,700 on 1/31/2007
    Barack Obama inauguration – $50,000

    Report Post » EqualJustice  
    • IMCHRISTIAN
      Posted on August 25, 2012 at 12:13pm

      Do you suppose someone is getting a large kickback? hummm

      Report Post »  
    • teebubba
      Posted on August 26, 2012 at 8:18am

      Seagate has to bid to get that building…Everyone is assuming that with this announcement it will scare the other potential bidders off.

      Report Post » teebubba  
    • Stoic one
      Posted on August 26, 2012 at 9:25pm

      that’s 176,300 i n “donations” and a ‘return’ of 210,000,000 on a future purchase.

      SEE.. cronyism works.

      Also known as —- corruption.

      Report Post » Stoic one  
  • RodT82721
    Posted on August 25, 2012 at 10:49am

    Sounds reasonable to me. Only cost 33 times it’s actual worth using Barry’s union thugs to build it and Barry’s money bundlers to finance it. About as profitable for the hapless tax payers as their UAW re-finance.
    I’ll bet that super efficient GSA will be handling the sale, we all know how much they care for our tax dollars.

    When you deal with the govt, don’t expect efficiency, their in it for the kickbacks. After all, it isn’t their money, most White House employees don’t pay taxes, they are special.

    Report Post »  
  • bikerdogred1
    Posted on August 25, 2012 at 9:56am

    All the money that was lost ,went in some one’s pocket,where is the FBI when you really need them.

    Report Post »  
    • doomytram
      Posted on August 25, 2012 at 10:06am

      They are arresting our beloved Marines illegally and trying to commit them to shut them up until the election. They are also protecting the Muslim terrorist’s and making sure they are treated politically correctly. They are spending most of their time watching us the Tax Enough Party to make sure we don’t hurt any non citizens or muslims.

      Report Post » doomytram  
    • skippy6
      Posted on August 25, 2012 at 10:16am

      Maybe it went to fund Barrys reelection….The FBI has more important things to do like going after people who peacefully condemn the government…..

      Report Post » skippy6  
    • starman70
      Posted on August 25, 2012 at 10:21am

      Most of the money was plowed back to the Dems. in one way or another.

      @DOOMYTRAM: Excellent observation!!! You are right on track!!!

      Report Post »  
    • Sirfoldallot
      Posted on August 25, 2012 at 3:03pm

      @ bikerdog – @ the coffee shop with the cops working out day planner on the Ipod.

      Report Post » Sirfoldallot  
    • Sirfoldallot
      Posted on August 25, 2012 at 3:05pm

      @ bikerdog – PS & waiting orders.

      Report Post » Sirfoldallot  
  • lessoneleg
    Posted on August 25, 2012 at 9:38am

    what I find galling, and so expected, is that liberal arts training in our Super Expensive School Systems from Grade School, High School, and then through University. They all have had utter control over our developing children and young adults. And no where during that time was it instructed business sense experience. It’s all been this Green Eco-liberalism, and if we build it, they will come.
    Yes, we built it, found out the hard way, that no, they don’t come. But if a liberal throws more money at it, it has to come.
    No, dufus, There was never any market for it, they won’t come, and in fact, we are broke. But it has to work, Al Gore promised, and the Van Jones School of Fine Socialists, says so, that if I build it, it has to work. No, dufus, nobody can afford our product, they won’t come.
    Tell ya what, throw another 200 million into it, I will close the plant, and kick back 30% to the Democratic Party special interest account.
    OK, that sounds reasonable. But I just paid, 600 million for that plant? So, it’s free money, from the tax payers. Oh yeah, I get it. Pay half a billion dollars for a 9 million dollar building. Smooth, Mr.Van Jones would be impressed.

    Report Post » lessoneleg  
  • Maidoff101
    Posted on August 25, 2012 at 8:11am

    Fundemental Transformation?
    Hope and Change, Who can Believe in ?
    Just more proof a large segment of the Country have been Dupped, By a Communnity Organizer, the DNC, and the MSM.
    The movie 2016, haven’t heard the MSM calling it a bunch of Lies yet, Why?
    Fahrenhiet 911 was touted as movie of the year, and was riddled with Lies.

    Report Post »  
  • Structure21
    Posted on August 25, 2012 at 8:09am

    Add your comments

    Report Post »  
    • Sirfoldallot
      Posted on August 25, 2012 at 9:20am

      Chinese , uhhmmmm ; weird so is this a win win 4 Obama’s team ?

      Report Post » Sirfoldallot  
  • GrumpyCat
    Posted on August 25, 2012 at 7:41am

    For a bunch of right-wingers surprisingly few have any idea how markets work or the concept of “opportunity”.

    Solyndra wants a facility and has it built to their specifications: $300M. Its not a hard drive manufacturing facility but is an opportunity to acquire capabilities which are useful to Seagate: $90M. What is not said is how much Seagate will pay to retrofit the facility, possibly another $500M.

    What I don’t understand is why they continue to locate in such high rent/tax districts?

    Report Post »  
    • doomytram
      Posted on August 25, 2012 at 7:59am

      For a bunch of right-wingers surprisingly few have any idea how markets work or the concept of “opportunity”. WTH are you talking about GrumpyCat? Are you implying left-wingers have any idea how markets work?

      Report Post » doomytram  
    • ObserverOnTheHill
      Posted on August 25, 2012 at 8:06am

      and as smart as you are you know that getting the building up to their specs is another $ 500 million ?
      What orifice of you body did you pull that figure from ?

      Report Post »  
    • progressiveslayer
      Posted on August 25, 2012 at 9:16am

      Opportunity for who grumpy fool? Our country is being destroyed by crony capitalism and a skinny Marxist POS. Government has no money they simply take it from us serfs and give it to their friends,as an example this solyndra so called green energy BS company designed to fail.‘Green energy’ is a fraud just like Barry Soetoro.

      Report Post » progressiveslayer  
  • frogg
    Posted on August 25, 2012 at 7:15am

    I think Obama should have to pay back the money he gave Solyndra out of his campaign money!!!!
    That would be fair right!!!!!!! Vote the BUMS out this November! Please! Pretty Please!!!!!!!!!!!!!! Check out http://www.rescueourconstitution.com/

    Report Post » frogg  
    • drbage
      Posted on August 25, 2012 at 9:42am

      Obummer and Gaffetastic won’t even reimburse towns, cities, colleges, etc. that they visit for all the security costs, but finally some localities are starting to stand up to the theft and saying thanks but no thanks–latest UVA.

      Report Post »  
  • Chromo200
    Posted on August 25, 2012 at 7:14am

    Please stop picking on Obama and his staff they are the greatest business people in the world. They know how to start businesses, buy and sell, and creat jobs, especially for minorities. I mean look at it .. You give 500 million and get back 90. I figure after Obama stops being president he can teach law and economics at Harvard. Can’t wait to have my children go their and learn.

    Report Post »  
    • doomytram
      Posted on August 25, 2012 at 8:02am

      Yeah Stop picking on those Harvard, Yale, and Princeton Unemployment Labor Professor Economist’s. They won 1st prize in the mock business Ivy league competition in the 80′s. None of them have ever worked a day in their lives, but were hand picked by the commie chief for their commie leanings. Don’t blame them for the stimulus failures. They created or saved some jobs and the cost 1.9 million per job. Be nice to these little Paul Krugmans

      Report Post » doomytram  
  • marcus_arealius
    Posted on August 25, 2012 at 4:30am

    Reparations anyone? I warned everyone about this in 2008.. I just didn’t predict where the money would end up.. Where do you stash a trillion or two? Obama’s stash.

    Report Post »  
  • Smoke Ranch
    Posted on August 25, 2012 at 4:10am

    If these people could only get one third the price of the original cost of the building, I only wonder the cost of GM was for The UAW.

    Report Post » Smoke Ranch  
  • GhostOfJefferson
    Posted on August 25, 2012 at 2:57am

    How is this upside down precisely? The building and group were vastly over-valued a la government, they collapsed as expected, the real market value is 1/3 the original, somebody bought. God bless capitalism.

    Where’s the upside down?

    Report Post » GhostOfJefferson  
    • Snowleopard {gallery of cat folks}
      Posted on August 25, 2012 at 3:47am

      The only one upside down is the President and his capitalist cronies for getting caught in this scandle; I also have to wonder how much Soros has benefited from these failures.

      Report Post » Snowleopard {gallery of cat folks}  
    • AJAYW
      Posted on August 25, 2012 at 7:12am

      Sonw
      You can bet soros made plenty so did obama. There is a hugh amount of money missing form several companys obama got involved in. It has to be stashed some place and you can be sure obama and soros are part of the scam.

      Report Post »  
    • rickroland
      Posted on August 25, 2012 at 7:19am

      This has nothing to do with “capitalism”. It is prime example of government corruption and criminal waste of tax payer monies.

      Report Post »  
    • progressiveslayer
      Posted on August 25, 2012 at 8:50am

      This whole scam is the result of crony capitalism and has nothing to do with free market capitalism.
      We end crony capitalism and we have a chance of saving our economy but we’re going through another depression no matter who wins in November.

      Report Post » progressiveslayer  
    • Lt_Scrounge
      Posted on August 25, 2012 at 8:44pm

      Upside down is a term used to indicate a piece of real estate that has more owed on it than it is currently worth. Another often used term is “under water”. Being upside down is a main reason for many of the foreclosures in this country. When Fannie Mae and Freddie Mac were handing out mortgages without any underwriting standards, everyone could get a mortgage whether they could afford it or not. With that many buyers in the market, properties were selling for well above their actual value. When a piece of property is worth less than is owed on it, the borrowers have little reason to continue paying a mortgage on a home that they won’t be able to sell or even refinance for an unknown number of years. This situation is only complicated when people lose their jobs, or face other economic problems like being forced to take a pay cut.

      Report Post »  
  • VoteRightDammit
    Posted on August 25, 2012 at 2:43am

    It’s called OPM

    Other People’s Money

    Cheap as all get out. so ……… who CARES about the outcome?

    Report Post » VoteRightDammit  
  • doublecrossed
    Posted on August 25, 2012 at 1:22am

    the building cost $90M, the extra was to the union kickbacks. Still covered under the stimulus plan! Something had to stimulate their campaign!!!!!!!!!!

    Report Post »  
  • KangarooJack
    Posted on August 25, 2012 at 12:45am

    No wait, come late October…gonna have to bail out GM YET AGAIN…only the dumb schmuck in Chief does NOT GET IT!

    Report Post » KangarooJack  
  • marine249
    Posted on August 25, 2012 at 12:24am

    so obummer lost only 210M
    we is f#*~%#d

    Report Post »  
    • Anonymous T. Irrelevant
      Posted on August 25, 2012 at 12:51am

      He didn’t lose it, he knew where it went; right back into his campaign, and his buddies overseas accounts.

      Report Post » Anonymous T. Irrelevant  
    • KangarooJack
      Posted on August 25, 2012 at 12:52am

      With out the benefit of Vaseline by the way…

      Report Post » KangarooJack  
    • docgreen
      Posted on August 25, 2012 at 1:22am

      WOW people! Do you ever question, how did it ever get this bad? I’m not pointing fingers, but please, help me understand this! How is it our Govt., can steal/rob us this way? Is this not theft by deception? We see so much of this in our Govt., our forefathers never wanted anything like this ever! So how did it ever get this bad? Didn’t our Govt. create this monster during War Time and for the Great Depression? They used it to build infrastructure; it was never meant for everyday Businesses Old or New! That’s what the Banks were for! When you look at the Downfall of America; it all leads to our Govt. tying itself into the Banking Industry! Our Govt. seems to think, they’re better and more proficient at Banking than they are at Govt. work! Look at the Housing Crash, the Family Farm Disaster, CRA, the Federal Reserve and anything else that should be run by the Banks and not by our Govt.! Why, who gave them the rights to steal and rob us Blind? As you can see; I didn’t say its Dems or the Rep! I want to know why our Govt. is even involved with stuff like this? Here’s one other Suggestion! I keep hearing how insurance rates are sky rocketing; have we ever stepped back and asked ourselves why? Even the Banks in the US; why is it they rob us blind? Is it possible that maybe it has something to do with New Banks on every corner! New Doctors Offices on every corner, and now I’m seeing New Hospitals! It all adds up to charging us more for everything under the S

      Report Post »  
    • loriann12
      Posted on August 25, 2012 at 7:03am

      @docgreen
      it got this bad because good people were busy raising families and going about their lives like they SHOULD have been able to do, and expecting the people they elected to do as they said they would do while campaigning. We elected them and then went on about our business and didn’t check back. The enemies nose crept into the tent and is now trying to get it’s whole body in.

      Report Post »  
    • wboehmer
      Posted on August 25, 2012 at 7:27am

      Nope, not $210 million.

      Øbama lost our entire $545 million – and, of course, that’s just on the Solyndra fiasco.

      Looks nlike Seagate got a bargain, though. Good for them!

      Report Post »  
    • Jenny Lind
      Posted on August 25, 2012 at 8:47am

      Doc green, my mom told me when I was small ( I am 67 now) that it was a shame McCarthy was being railroaded. She was an avid reader and she had read all the writings of those who wanted to destroy this country and those who were “ringing” the bells. No one wanted to hear it after a major world war, they put their fingers in their ears and said I can’t hear you. Only the nasty old man in the FBI was watching, and he was discredited as soon as he died. This has been a very long time in the making, and if you are Christian you know exactly who the author of all evil on this planet is. We may get very blessed this time and put a person in as president that knows what to do for now, and we may be granted some time so we can show that we still are the “city on the hill” and help the world to have some freedoms and be an example for good, but we are not the rest of the world, and evil still is there that we can’t change, and they will still hate us and all we are. We still have a job to do in this world I believe is important, to help others break the chains from tyranny, by example, which we aren’t doing well right now. Remember, it isn‘t just a good new president’s job to create what we want here and get rid of the bad. We have to be involved and work hard too. Our own laziness as a country to keep our freedoms, and not listen to the early bell ringers is how we got here, we can’t just sit back and wait for someone else to work on fixing it.

      Report Post »  
  • South Philly Boy
    Posted on August 25, 2012 at 12:21am

    That’s the way Fed Govt WORKS

    Report Post » South Philly Boy  
    • CatB
      Posted on August 25, 2012 at 12:31am

      Please tell me Obumbler isn’t going to give the new guys taxpayer money to buy the building .. I mean it could happen …

      Report Post »  
    • rickroland
      Posted on August 25, 2012 at 7:21am

      Really? But, I thought we were all going to benefit from that “hope and change” thing! Oh, wait….

      Report Post »  
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