BMW commemorates landmark 700 model

It's hard to conceive of BMW at risk of financial doom, even in the current economic climate. From the 'new class' cars that introduced the Hofmeister kink in the 1960s through to the present day, BMW has gone from strength to strength, build a brand-loyal following along the way.

But there was a time when the German car manufacturer faced extinction. In the post-war era, BMW attempted to get back on its feet by producing motorbikes or large luxury cars and high-performance coupes that just didn't sell in adequate numbers to keep the company afloat.

Eventually, the car company was forced to turn its hand to production of the Isetta cyclecar under licence. Manufactured and sold from 1954, the Isetta arrived at exactly the wrong time. The German Economic Miracle had already influenced buyers' expectations in the new-car market and people were looking for something a lot more car-like than the motorcycle-based bubble car. With a stretched wheelbase, the Isetta evolved into the BMW 600, but this was no more successful than its predecessor.

Finally, BMW settled on what was, to all intents and purposes, a relatively conventional small car, running the mechanicals from the 600. By economic necessity, the new car -- named the BMW 700 -- shared some design parameters with the increasingly popular Type 1 Volkswagen (Beetle). The BMW featured swing-axle IRS, seating for four and a horizontally-opposed engine perched in the rear. Unlike the four-cylinder engine in the VW, the 700's motor was a flat-twin motorcycle powerplant displacing just 700cm3 -- hence the model name.

The new model -- introduced to the market in 1959 -- was built in sedan and coupe styles on a monocoque platform. It was the first volume-selling production car from BMW to feature this type of construction. BMW engineers calculated that the 'new' method of construction -- seen locally in the 1948 Holden 48-215 -- reduced the car's weight by about 30kg and allowed the floorpan to sit as much as 70mm lower. In addition, monocoque production yielded cost benefits.

On its unveiling before journalists on June 9, 1959, the new BMW received a standing ovation -- in counterpoint to the press's earlier criticism of the company for its ill-timed product range. While fuel consumption was as low as 6.0L/100km, the new model boasted the same performance figures as the pre-war 327, which was powered by a 2.0-litre six.

From its first year of production, the 700 exceeded sales forecasts and many buyers were forced to wait for production to catch up with demand. Selling 35,000 units in 1960, the 700 contributed as much as 58 per cent of the company's revenue that year.

It wasn't long before the tiny car was co-opted into motor sport ventures. Hans Stuck won the German Hill-Climbing Championship driving one of the BMWs in 1960. He was aged 60 at the time. The following year, BMW introduced the 700 Sport, to capitalise on the car's growing reputation as a race winner, and a competition special, the 700 RS, was developed the same year.

More prosaic models were spawned too, based on the same basic platform. There was a De Luxe variant and a convertible, launched in February 1961. For 1962, the body was elongated to create the 700 LS and 700 LS De Luxe, with a longer Coupe style also available from 1964.

By the time production ended in 1965, the 700 was being assembled from CKD kits in Belgium, Italy, Argentina and Israel. Global production of the car totalled 190,000 units. 1965 marked the introduction of the 'New Class' cars and the 700 was rendered obsolete almost overnight. But with its motor sport heritage and its profitability, it provided a paradigm for the future of BMW.

Read the latest Carsales Network news and reviews on your mobile, iPhone or PDA at www.carsales.mobi