Land deal to aid new Volkswagen Chattanooga electric vehicle lab

Contributed photo by Volkswagen / The Volkswagen ID.4 electric SUV will undergo assembly in Chattanooga by 2022.

Chattanooga is expected to convey 3.2 acres at Enterprise South industrial park to let Volkswagen access a planned new battery testing lab to support assembly of an electric SUV.

The site of the new lab, which is expected to employ up to 20 people, is to be at or near 4016 Hickory Valley Road, according to a City Council resolution slated to be taken up Tuesday.

The city is to convey the property to its Industrial Development Board, which oversees much of the industrial park in Tyner where VW employs about 3,800 workers making the Atlas SUVs and Passat sedan.

The high-voltage laboratory will develop and test electric vehicle cells and battery packs. VW didn't immediately give the facility's size or cost.

The lab will support the automaker's Chattanooga Engineering and Planning Center, which is located in a building separate from the plant on Discovery Drive.