For 1979, American Motors transformed the quirky Gremlin into the Spirit with far more conventional styling.

With the introduction of the 1970 Gremlin, American Motors pulled off a minor coup, beating Ford and Chevrolet into the growing subcompact market by a full year. To many observers the Gremlin wasn’t a real subcompact, only a compact with its wheelbase shortened to 96 inches and its rear deck sawn off. But it was embraced by car buyers anyway, quirky styling and all. The Gremlin became a solid seller, by AMC standards at least.

1979 AMC Spirit Sedan

While the Gremlin remained in production for eight years, sales inevitably declined, and a 1977 facelift failed to reverse the trend. Clearly it was time for a reset, and vice president of design Richard A. Teague responded with all-new exterior sheet metal for the aging platform. Apparently the makeover was in the works for some time, as the new car bore a striking resemblance to a 1974 concept vehicle called the Gremlin G-II (see our feature on the G-II here.) With the new skin came a new name for the former Gremlin: Spirit.

1979 AMC Spirit Liftback

While the Gremlin had been offered in just a single body style, the Spirit was available in two distinct two-door configurations. While they were identical from the cowl forward, the two were remarkably different at the rear. For the sporty Liftback version, Teague’s staff somehow managed to escape the Gremlin’s unorthodox proportions and create a shape that was more in line with all the other domestic and import three-door hatchbacks of the period.

1979 AMC Spirit Sedan

While AMC listed the other body style as a Sedan, in appearance it was more like a baby station wagon. And though its sillhouette was similar to the Gremlin’s, unlike the original it featured large quarter windows. And just as with the Gremlin, the backlite was hinged for access to the rear cargo compartment. It’s interesting to note that despite their different looks, the two Spirit body styles sold in fairly equal numbers.

Along with the two body styles, the Spirit offered several trim levels and option packages, including the luxury-tinged L and DL and for the Liftback, the sporty GT package ($469). The base engine, a 2.0-liter four sourced from the Volkswagen Group, sent 80 hp to the rear wheels. AMC’s trusty 3.8-liter (232 CID) inline six and 5.0-liter (304 CID) were optional. Along with the new sheetmetal, the old platform did receive some mechanical upgrades—mainly, improved isolation in the front suspension and rear live axle.

While the Spirit wasn’t as long-lived as its Gremlin forebear, it did remain in production through 1983, and it also served as the basis for the Eagle short-wheelbase (Series 50) four-wheel drive models of 1981-83. From 1984 on, AMC’s small-car line consisted entirely of Wisconsin-built Renaults, the Alliance and Encore.

One final note: For ’79 the AMX badge was transferred to the Spirit platform, and for  enthusiasts, this might be the most interesting Spirit variation. Essentially, the AMX combined all the Spirit performance options in a single convenient bundle and added a body kit and graphics, embracing the ’70s hood-chicken fad. Here, a 4.2L (258 CID) six was standard, and the V8 with two-barrel carb and 125 hp was optional. This AMX was offered for just two years, ’79 and ’80.

1979 AMC AMX Liftback