Tesla acquires $5 million worth of land outside Austin to build new factory

Tesla is acquiring $5 million worth of land outside of Austin, Texas to build its new factory as it is about to secure over $60 million in incentives for the project.

Tesla acquires $5 million worth of land outside Austin to build new factory

Last month, Electrek exclusively reported that Tesla’s next factory is going to be in Austin.

After our report, Tesla leaked that Tulsa, Oklahoma, was still in the running, but we were able to confirm that Tesla was already set to build in Austin, and it plans to move fast with hope to have a general assembly line for Model Y in Texas by the end of the year.

Now we’ve learned that Tesla is buying a 2,100-acre piece of land (pictured above) just outside Austin to build the factory.

The land is currently occupied by a sand and gravel mining site, but Tesla is buying the location for just over $5 million which was revealed in an application with the Texas Comptroller’s office.

Tesla describes the project in the application:

“Tesla is evaluating the possible development, design, and construction of an electric vehicle manufacturing plant in Travis County within the Austin Green property. This site is approximately 2,100 acres and located at the intersections of SH-130 and Harold Green Road. The property is currently a sand and gravel mining site owned and operated by Martin Marietta and Texas construction projects. The Martin Marietta assets will operate for a period of time but will be relocated in the future to allow for buildout of the site. The timeline for the relocation will be determined at a later date.”

Electrek has learned that they have already started that process of relocation and Tesla’s construction team is already getting ready to build on at this location, which is near the Austin airport.

Yet, the purchase is not making the completely official until they secure approval from all the local authorities.

The construction of the new Tesla factory is set to commence in Q3 of 2020 pending all approvals.

Tesla is seeking approval from the local school district to forgive up to $68 million on its property tax bill over 10 years.

It would be part of a wider incentive package with Travis County and the state.

CEO Elon Musk has been referring to Tesla’s new factory as “Cybertruck Gigafactory” because it will be where Tesla produces its new electric pickup truck.

However, Tesla also plans to produce Model Y at the factory and the Model Y production is expected to come online before Cybertruck production.

Electrek previously reported that Tesla aims to have a Model Y general assembly line running at the Austin factory by the end of the year.

It’s a very aggressive goal, but Tesla is apparently far along in the process despite still seeking official approval from the authorities.

This news was originally published at electrek.co