SOUTH BEND — More than one million Studebaker parts hit the auction block Tuesday as the assets of Studebaker Autoparts Sales Corporation, or SASCO, were bought out by South Bend based Teacher's Credit Union. The question now: what will happen to the former Studebaker engineering building SASCO called home?

Tuesday's sale marked the end of an era in South Bend, as TCU became the sole bidder on what South Bend city leaders described as more than a million dollars in SASCO assets. SASCO moved into the former Studebaker Engineering Building 92 nearly a decade ago, after many years of sales on the other side of Sample Street.

"The parts warehouse we know today really came from the move across the street. The old Standard Surplus building used to house the parts inventory. And, when the St. Joseph County Jail was built, those parts were moved across the street to this building," said South Bend Director of Economic Development Don Inks, pointing to the old 92 Building at Sample and Franklin Streets.

A Surprise Find

For Robert Spaugh of Elkhart, the decaying building, built in 1928, has been like a second home lately.

"It's got two floors full of parts — all Studebaker parts. I have a 1948 Studebaker Land Cruiser that needs new brakes, and a couple of Studebaker trucks too that I'm trying to restore. This place always has the part," Spaugh said.

So, imagine Spaugh's surprise when he stopped by Tuesday and found all the parts in the dark behind locked doors.

"I thought maybe they were just closed on Tuesdays," Spaugh said when informed of the purchase by TCU.

"Teacher's Credit Union held a sale this morning," Inks said. "They were the only bidder for the amount of debt they were owed, which was about $1 million. It was pretty short. Just a couple of minutes, and that was it. Now, TCU owns the assets of SASCO."

WSBT's calls to SASCO owner Dennis Lambert for comment about the sale were not returned Tuesday.

But, Spaugh says the closing is a loss, both to him, and to the community.

"You're losing a place that's close by, and a lot of people come in for it. And, there's a lot of Studebakers around here too. And, [certainly a lot of history too,]," he said.

A Gem In South Bend

It's a story that begins in 1928, as Studebaker began to increase focus on "horse-less" carriages. Engineering Building 92 quickly became the "heart" of the company's operations.

"The engineering building was kind of the 'nerve center' of the whole second section of the plant, built south of Sample Street. That's where all Studebaker's innovations were created — in that building. It was definitely a significant part of the company's history," said Studebaker National Museum Archivist Andrew Beckman.

"There are many sides to this story. Certainly this is a continuing chapter in the Studebaker story in South Bend. And, it's another chapter in the city's industrial history. That's what a lot of this town was built on," Beckman continued.

Inks agreed, but said progress demands action.

"You never want to forget your past. But, you always have to be looking forward and making progress. The whole Midwest has, unfortunately, been termed the 'rust belt.' And, this is, again unfortunately, another piece of that. The manufacturing history of a lot of communities across the Midwest has fallen on bad times, and that doesn't seem like that will ever turn around," he said.

Planning For The Future

"While this may have a lot of fond memories for people, we're hoping that we can create at least as fond memories with the development of Ignition Park. We [want to] create some high paying jobs here and some strong technology businesses for the future," Inks continued.

Ignition Park is a city owned parcel of property running from Sample Street on the North to Franklin Street on the East, the railroad tracks on the South and Prairie Avenue to the West. City leaders hope to attract new high tech businesses there, piggybacking on the new Midwest Institute for Nanotechnology Development or MIND at Notre Dame and the adjacent Innovation Park project.

Innovation Park is designed to help businesses commercialize their innovations, and help bring them to the marketplace, according to Innovation Park Marketing Manager Ann Hastings.

But, none of that can happen until "number 92" is out of the picture.

"This building, because of the way it's construction and it's heavy construction, needs to come down before we can see any development on the rest of the site. The demolition on this structure would be disruptive to high tech businesses. So, we can't have any new development on the site until this building and the Underground Pipe and Valve building are both demolished," Inks said.

Underground Pipe and Valve has agreed to move to a building in the Oliver Industrial Park on the other side of Sample Street in 2010, Inks said. That would clear the way for the former Studebaker assembly plant the company currently occupies to be demolished, Inks said.

But, until this week, it looked like demolition of Engineering Building 92 could be far as a decade away. SASCO still had two additional five year lease options on the space, Inks said.

"They were currently about halfway through that 20 year lease," Inks said. "And so, TCU essentially steps into SASCO's shoes for the remaining term of that lease."

When asked if it's possible that the city of South Bend could "buyout" the remainder of the lease from TCU, Inks didn't hesitate to reply.

"I think that's a good potential, yep," he said. "TCU is going to try to liquidate the assets and get as much as possible to pay off the debt that they're owed. There are interested buyers out there for the inventory. And, we're hopeful that one of those buyers will step forward with an offer that TCU can accept."

It may not take long for it all to happen.

"We're having conversations with Teachers Credit Union about the lease, and a potential buyout of that lease. And, we may be ready to take action as soon as this Friday when the Redevelopment Commission meets," Inks said.

It's a bittersweet moment for historians like Beckman.

"It's the next chapter in the Studebaker story," he said. "But, regardless of how many buildings remain or are gone, the history is woven throughout the community. And, we're never going to lose that."

Spaugh certainly hopes not.

After all, parts, can be found elsewhere. But there's nothing quite like buying them from a place that feels like home.

"There's parts on the computer," he said. "And, there's parts in Indianapolis, and other various places across the country There's a lot of history here. It will be sad to see it go."