Tesla Expanding In California With Massive New Building

NOV 12 2018 BY MARK KANE 38

Lathrop to become Tesla’s distribution hub?

Tesla is expanding its presence in California accordingly to growing production of electric cars. One of the latest moves is the construction of a new building at 500 E. Louise Ave., in Lathrop – about an hour east from Tesla Factory in Fremont.

Tesla already has a 431,000-square-foot facility in Lathrop, but the new building is about 870,000-square-foot. According to unofficial news, the new facility will be a distribution center.

“Less than five years after the popular electric car manufacturer acquired a 431,000-square-foot facility that had previously been used to distribute car parts for Chrysler to serve as a remote manufacturing facility for its mass production Model 3, the Palo Alto-based company is awaiting completion of an 870,000-square-foot building being constructed on a parcel that was previously parking for the Pilkington glass plant campus.”

Tesla could use Lathrop as a hub for all those unsold Model 3 which Bob Lutz spoke about to send cars nationwide.

“According to a Business Insider article, it is believed that several thousand of the popular electric cars are sitting on the blacktop in Lathrop, and just as many in a similar location in Burbank in Southern California.“We use Lathrop as a loading hub for cars being shipped to other locations for delivery to customers,” Business Insider reported a Tesla spokesperson stating. “As our deliveries increase, we’re obviously going to have more cars there.””

Tesla will need many new facilities as the Tesla Factory will not necessarily be able to handle the Semi or Roadster not even mentioning the Model Y.

Source: Manteca Bulletin, Electrek

Categories: Tesla

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38 Comments on "Tesla Expanding In California With Massive New Building"

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Yes, the air quality really is sub-Beijing right now.

I was in Beijing a couple years ago on a bad day. You could feel the wind slap you in the face with the grit. But that was the big stuff. The little stuff was worse.
Every time you blew your nose you knew just how much pollution you were breathing in.
LA was bad. Beijing was worse.

Anyone notice the building is shaped like a giant T for Tesla?

It looks like a T, but I suspect it will be re-worked into a big E for Elon.

It looks like two Tetris pieces to me.

Looks more like a Giant ‘L’ to me with a small tail…..or a gun which is probably pointed at GM.

If Tesla covers this building with solar panels it would be like having a large urban solar farm.

So true…a 870,000 sq ft solar farm with power walls.

GF2 is next and maybes then this one.

Tesla is growing at an unbelievable pace, it will take a decade of expansion to begin to see production meet demand.

Hope they also grow the service centers at a similar pace, they are getting a bit crowded.

Great to see that Tesla is growing again, however this build-to-suit does not make a lot of sense for a warehouse/distribution facility. Why make the huge Capital investment when they could lease a large commercial space… many are vacant in this area.

Well, apparently the captial investment was not that big to justify leasing. I’m sure the Tesla beancounters have looked at all options.

Building a huge glorified pole barn on a relatively inexpensive abandoned parking lot might not be all that expensive, comparatively. And they can put in modern, relatively efficient, HVAC systems to keep the cost of keeping it cool down.

I am not sure, but maybe it pencils out better to build rather than lease used.

This may be a lease, too. Sometimes you can get a better price for build-to-suit new lease than modifying an existing building.

All the more nearer the Giga-factory.
Maybe a place to store all the cars in transit so shorters don’t have a field day, or to protect them from the elements.

All these thousands upon thousands of cars sitting in open parking lots and people filming them was turning into a PR disaster. Now they can hide them away from public scrutiny and crush them without footage leaking onto the interwebs. So they can keep the ponzi scheme running for a bit longer.

This was hilarious…I don’t know why it got down votes. The first sentence slags the Alpha fud around the Model 3’s ramp-up/delivery of Q3, the second is a nice dig at the GM/EV1 fiasco (with a salute to George W’s internet/s) and the last…well, even Mr. Ponzi would concur.
I guess the current admin in the Whitehouse has sucked all the humour out of you folks down south. No disrespect intended to the regular folk.

Lack of a sarc tag makes you wonder, “Is he serious?” just long enough to hit the down vote.

@ moderators: looks like some troll is using the arne-nl screenname for hate postings.

Oh boy, oh boy oh boy, I forgot about poe’s law.

Sorry if I have upset anyone. 😐

There’s nothing separating this sarcasm from the actual original, so no surprise there, it’s basically a carbon copy of the tired talking points from those battered trolls of pre-Q3.

Do Not Read Between The Lines

Some people have no sense of humor.

So they will have to bring every cars an hour away to the distribution center and then ship them to the destination?

Lathrop is next to I5 and a “stone throw” from Highway 99 and is easier to send vehicles throughout the rest of the US than from Fremont. You got I80 about an hour away. I live in Davis, CA and traffic on I80 going into (and from) the Bay Area is horrible, especially during rush hours during the week & the big weekend exodus to Ski resorts & Reno and back.

Notice also the rail tracks in the pic for shipping to the East Coast and other far flung places.

Lathrop is strategic. We have seen a steady stream of car carriers headed out of fremont on a 680/sunole pass and then likely the 580 to the central valley. Lathrop is on that path out of the bay area, meaning that not only will it serve as a staging center outside fremont, but it means that in most cases, the cars won’t even be going out of their way on the final destination.

Going out of their way isn’t the issue, it’s the extra load/unload cycle that adds cost. They really have little other choice at current volumes, though.

In 5-7 years Tesla will be bigger and sell more cars than GM. And probably owned by Amazon or Microsoft.

In 5-7 years Tesla will be bigger and sell more cars than GM. And probably own Amazon or Microsoft.


Tesla is expanding hand over fist whilst the legacy car makers are sitting on their collective backsides with an experienced workforce that will be skilled in a technology that will be dead within a generation. That place looks like it’s on Mars already!

I hope it is to store cars before shipping to Europe.
A fairly normal RORO vessel has room for about 8000 cars (and it pollutes equal to 50 000 old dirty cars, or about twice as many new ICE cars). Green technology for ships can not come soon enough.

The best would be a storage facility close to the port, or close to a railroad that leads to a port. Would need a few of these ships for sure, to supply the pre orders they have received.

They wouldn’t erect a new building for that. The European GF would make it obsolete in a few years.

GF3 in Belgium would make sense since neither German nor French LICE companies would allow their politicians to host it. Oh, and not in the UK because of Brexit.

I’ve never heard of storing vehicles for shipment in a building. Typical a big empty lot so much cheaper.

True, but less likelihood of weather damage (hail) and potential vandalism.

Does it hail in southern California often? Not being a jerk, just not sure if it does. I once had my car sandblasted in Indian Wells, CA, though. Left it outside in a wind event and the paint on the windward side of my car got sand blasted.