Nikola's Arizona facilities are bought by Lucid for $30 million.

Lucid Motors Expands Arizona Operations with Nikola Asset Acquisition

In a strategic move to bolster its manufacturing capabilities in Arizona, Lucid Motors has acquired select facilities and assets from Nikola Corporation. The deal, pending court approval, includes the acquisition of two major Arizona-based facilities and various assets for approximately US$30 million [1][4].

The background of this acquisition ties to Nikola Corporation filing for federal bankruptcy in February 2025 amid financial troubles, with Lucid strategically acquiring physical assets to bolster its own manufacturing capabilities in Arizona [1][4].

The acquired facilities add over 884,000 square feet to Lucid's Arizona operations. They come equipped with high-value development tools such as battery and environmental testing chambers, a full-size chassis dynamometer, and precision machining equipment [1][4].

Lucid plans to offer jobs to more than 300 former Nikola employees across engineering, assembly, vehicle testing, and warehouse roles. Peter Rawlinson, the CEO of Lucid Motors, expressed his delight at extending employment offers to former Nikola employees, stating they bring valuable industry experience [1].

Regarding Lucid’s future plans post-acquisition, the newly acquired facilities are part of a strategic expansion to support ongoing manufacturing and product development. Lucid opened the Phoenix Hub facility to complement its primary factory in Casa Grande and plans to add up to 500 new jobs in Phoenix over the next 3-5 years [2][4].

The additional capacity is intended to strengthen Lucid’s footprint and production efficiency but will not delay Lucid’s upcoming midsize electric vehicle platform, scheduled to launch in late 2026 with deliveries ramping through 2027 [2]. The acquisition does not mention any plans for Lucid to focus on hydrogen fuel cell technology, as Nikola's customer base, business operations, and any proprietary hydrogen fuel cell technology were not included in the deal [1][4].

This acquisition enhances Lucid’s manufacturing capacity and workforce in Arizona significantly, positioning the company for growth while continuing with its planned vehicle launches and expansions. The acquisition also aims to support Lucid’s local Arizona community [1].

Background: Lucid acquired Nikola’s physical manufacturing and warehousing assets in Arizona following Nikola’s 2025 bankruptcy [1][4].

Assets Acquired: Over 884,000 sq ft of state-of-the-art manufacturing space, battery/environmental test chambers, and related facilities [1][4].

Employment: Lucid plans to rehire 300+ former Nikola employees into these facilities [1].

Future Plans: Use the expanded facilities to support manufacturing scale-up, especially for the Lucid Gravity SUV and other models; Phoenix Hub to create 500 new jobs in 3-5 years [2][4].

Midsize Platform: Production of a more affordable midsize EV line starts late 2026, unaffected by the Nikola asset acquisition, aiming to broaden Lucid’s market reach [2].

The April 10 court-run auction saw Lucid beat out multiple unnamed bidders for the Arizona assets. Objections to the sale may still be filed, with a hearing scheduled for April 11 to determine final approval [1]. Lucid's Interim CEO, Marc Winterhoff, stated that the acquisition is an opportunity to strategically expand manufacturing, warehousing, testing, and development facilities [1].

Lucid currently produces the Air luxury sedan and recently launched the Gravity SUV at its existing facility in Casa Grande [3]. After the Milton fiasco, Nikola was able to continue operations but ultimately filed for Chapter 11 bankruptcy protection in February 2025 [3]. The acquisition includes Nikola's former manufacturing facility in Coolidge and its former headquarters and product development center in Phoenix [1].

The referral link for Tesla’s Full Self-Driving (FSD) is not related to the Lucid-Nikola acquisition [1].