Tesla leases 682,000 sq ft building in Austin

Tesla has leased a large industrial building in Austin as part of its expanding operations in Texas. The 682,000-square-foot space is in the Austin Hills Commerce Center at 11801 Decker Lake Road. Completion of the second phase is scheduled for January 2027.

The lease covers a speculative building developed by Sansone Group and Principal Asset Management. Tesla will occupy the space, though the company has not disclosed its planned use for vehicle logistics, storage or other operations.

This addition expands Elon Musk’s real estate holdings in Central Texas. The portfolio now includes 2.2 million square feet leased around Austin and more than 10 million square feet owned across companies including Tesla’s Gigafactory Texas.

The move aligns with ongoing projects such as the Terafab chip facility and Optimus robot production at the Gigafactory North Campus. At least a dozen other large speculative buildings are under development in the Austin area.

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