Wednesday, July 16, 2014

Exclusive: Tesla eyeing 700 acres in southern Dallas for $5B Gigafactory

Possible Tesla Site
Courtesy of Michael-Chase Eaton, Aerial Photography Inc.

Tesla Motors Inc. (Nasdaq: TSLA), the Palo Alto, California-based luxery electronic car maker, is eyeing 700 acres of developable land in southern Dallas County in the Inland Port for a $5 billion Gigafactory.

A source close to the discussions told the Dallas Business Journal the automaker has been considering the acreage in southeast Dallas County off Interstate 45 that is owned by Colleyville-based Prime Rail Interests. Tesla has been eyeing Dallas since last fall.

The real estate investment firm, which is helmed by Mike Rader, has bought up more than 4,000 acres on either side of Interstate 45 in southern Dallas County.

Rader, who spoke with the Business Journal in April, told me the firm has seen interest in the acreage — at Prime Pointe and Sunridge Business Park — from throughout the country. Rader did not immediately return phone calls for comment Thursday morning.
“It is important for us to build this whole project,” Rader said, in a previous interview. “We are trying to develop rail service throughout the park, which will allow for manufacturing, distribution and warehousing.”
Tesla also is considering a site in San Antonio, which is thought to be the Lone Star state's front runner for the gigafactory. The logistics of southern Dallas County would appeal to the automaker, experts told the Business Journal.

However, Texas will need to beat out other states including Arizona, Nevada and New Mexico. That could be helped with the Lone Star state still has roughly $60 million.

The Tesla gigafactory has been on the radar of North Texas' real estate community as one of the biggest manufacturing deals eyeing the region. If Tesla picks the southern Dallas County site, transportation officials say nearly $200 million will be available to finish transportation improvements in the area.

Candace Carlisle- Dallas Business Journal