Tesla’s $1.44m Texas hub: how a 538,720 sq ft centre reshapes North
Tesla’s new 538,720 sq ft distribution centre near Austin will cost $1.44m and open in December 2028.
Tesla is expanding its logistics network in Central Texas with a new distribution center near Austin, reinforcing its presence in a key automotive corridor. The company has filed plans for a 538,720-square-foot facility at the Mustang Ridge Distribution Center I, located at 6925 FM Road 1327 in Mustang Ridge.
The $1.44 million build-out, registered with the Texas Department of Licensing and Regulation on September 1, is described as a “new lease space build-out” within an existing office and warehouse building. Construction is set to begin on December 7, with completion expected by December 4, 2028. The filing does not specify the types of products the facility will handle or the number of employees it will require.
The project aligns with Tesla’s broader strategy to strengthen its supply chain as it scales production. The company reported a 26% year-over-year revenue increase in the second quarter, reaching $28.24 billion, while delivering a record 480,126 vehicles globally. Capital expenditures surged to $5.8 billion in the same period, with Tesla projecting over $25 billion in spending for 2024 to expand manufacturing capacity.
Global Ship Lease
Project details and timeline: Tesla
The new distribution center will further integrate Tesla’s operations in Texas with its supplier network in Mexico. The automaker sources components from manufacturers across multiple Mexican states, including Nuevo León, Coahuila, Tamaulipas, Chihuahua, the Bajío region, and the state of Mexico. These suppliers ship parts directly to Tesla’s Gigafactory Texas, underscoring the region’s role in cross-border automotive trade.
While the filing does not detail the facility’s specific logistics functions, its location near Austin could streamline the movement of materials between Tesla’s manufacturing hubs and its Mexican suppliers. The project also coincides with Tesla’s plans to begin production of its Class 8 Tesla Semi in Nevada later this year, a move that may increase demand for efficient distribution channels.
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