Tesla is focusing on a location in Austin as the possible site of the electric-vehicle maker's Cybertruck factory, according to a public filing.
Shares of the Palo Alto, Calif., company at last check were up 0.8% to $999.19.
“Tesla is evaluating the possible development, design, and construction of an electric vehicle manufacturing plant in Travis County within the Austin Green property," the company said in a filing with the Texas Comptroller's office.
"The property is currently a sand and gravel mining site owned and operated by Martin Marietta and Texas construction projects."
Construction is proposed to start in the third quarter of this year pending all required approvals.
"Texas has been the expected location for Tesla’s next Gigafactory for a few months now," said Rob Maurer, publisher of TheStreet's Tesla Daily.
"As the top-selling state for trucks, Texas is a logical choice for Tesla as they prepare to start Cybertruck production next year. The Austin area, in particular, is a good fit."
Tesla Chief Executive Elon Musk has said that engineering talent is Tesla’s most significant constraint, Maurer added, and "Austin is home to some of the best engineering talent in the world."
"One remaining concern is Tesla’s ability to sell vehicles in the state which is currently blocked by dealership legislation," he said. "I would expect this legislation to change quickly if Tesla does indeed end up selecting Austin as the location of their next factory."
Tesla is looking for approval from the the Del Valle school board to forgive up to $68 million on its property tax bill over 10 years.
“This is especially critical in Texas due to the high level of real and personal property taxes relative to other states,” the filing said.
If the school board approves the agreement and Tesla moves forward with the factory on the site, construction could start in the third quarter of this year
The 4 million-to-5 million-square-foot plant would employ 5,000 workers and become Tesla’s fourth for vehicle assembly.
“The current focus is on Oklahoma and Texas as potential locations," the filing said.
In April, the city of Joplin, Mo., offered Tesla $1 billion of incentives and savings to build a new factory for its Cybertruck there.
Musk had been threatening to leave California over the state's coronavirus pandemic shutdown. He had threatened in a tweet to "immediately" relocate Tesla's headquarters to Nevada or Texas.
The company had filed a lawsuit against Alameda County over a shelter-in-place order that temporarily hampered operations at the carmaker's main factory in Fremont, Calif. It later dropped the action.
Tesla rolled out the Cybertruck in November to much hype and fanfare.