Tesla has started a $1.4 million build-out of 538,720 square feet of warehouse space in Mustang Ridge, Texas, just outside Austin, according to a state regulatory filing. The company leased the market’s largest speculative industrial building, removing a major block of ready-built warehouse space for other suppliers.
Mustang Ridge Distribution Center I was developed on speculation rather than for a specific tenant. When construction began, Clay Development co-founder Robert Clay said suppliers for Tesla, Samsung, Applied Materials and other advanced technology companies were seeking large cross-dock facilities. Tesla later signed the lease. The interior build-out is scheduled to start December 7 and finish in December 2028.
Tesla’s leased industrial footprint in Greater Austin now totals about 3.4 million square feet, alongside more than 10 million square feet of manufacturing space it owns at Gigafactory Texas. The company also absorbed more than 1.2 million square feet of speculative industrial space in Austin in July.
