Backed by Henry Ford's former partner, coal merchant Alexander Malcomson, the short-lived company offered an air-cooled four-cylinder luxury car which sold for $2,800.

[3] The Detroit News published an article on 3 December 1905, about Malcomson, the new Aerocar Company, and its plan to produce 500 touring cars during the year.

[2] Production began in February 1906 for a high-end car to compete with the automobiles on the market at that time, including Ford's Model K, and Aerocar reserved spaces at the major 1906 auto shows.

The Aerocar factory at Mack Avenue and Beaufait Street was leased in April 1909 to the Hudson Motor Car Company.

"[3][4] Hudson had Albert Kahn design a new factory that was built a few miles away at East Jefferson and Conner.

[4] Manufacturing of Hudson cars continued until August 1954 and the plant was purchased by General Motors in 1956 for metal fabrication of Cadillacs, but the facility was demolished in 1959–1960.

Built by practical men" with numerous claims as to its features as well as that "the dealer who has a selling agency for the Aerocar will have a gold mine.

"[5] The first model priced at $2,800 was for a touring car equipped with an air-cooled engine with a three-speed sliding gear transmission, standard steering, tubular front axle, and single battery/timer/coil ignition.