Passing on Downey and Long Beach, Tesla picks Northern California site

Full story: Long Beach Press-Telegram

Electric car manufacturer Tesla, which had seemed headed toward selecting Downey over Long Beach for a new car plant, on Thursday elected instead to opt for a Northern California property in Fremont, sources say.
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21 - 40 of 50 Comments Last updated May 21, 2010
crystalball

Long Beach, CA

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#24
May 20, 2010
 
Captain Tom wrote:
So is Long Beach Studios coming?
Is the economy turning around?
runaround

Long Beach, CA

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#25
May 20, 2010
 
Originally the Model S plant was to be built in New Mexico.
SANTA FE (February 19, 2007)– Governor Richardson announced that "Tesla Motors will build a new automobile assembly facility in Albuquerque," bringing 400 high wage jobs and a total capital investment of $35 million. Construction on the 150,000 square foot plant will begin in April 2007, at the latest. Governor Richardson has committed $3.5 million in capital outlay from the 2007 legislative session, and another $3.5 million in capital outlay from the 2008 legislative session. These funds will go to Bernalillo County and be used for building and infrastructure investment related to the facility.Several states, including Arizona and California, were in talks with Tesla Motors over locating the "WhiteStar" assembly plant. One of New Mexico's big attractions for the cash-conscious startup was the state's $20-million subsidy package of infrastructure improvements and business tax credits.
THEN Gov. Schwarzenegger offered TESLA tax incentives to stay in California. California Alternative Energy and Advanced Transportation Financing Authority (CAEATFA), approved a new program that exempts new Zero Emission Vehicle manufacturers from paying sales and use tax.
On October 2009, approved the Tesla Motors project. The CAEATFA action willexempt Tesla from paying sales and use taxes on the purchase of $320 million of equipment it will use to manufacture its electric cars.
Tesla signed a lease for 89 acres of land in North San Jose. Tesla proposed to build a 600,000 square foot headquarters and factory facility. "Tesla signed a 40-year lease with San Jose," of which the first ten years rent will be abated. The next 10 years has Tesla paying $1.5 Million per year ($.03 per square foot, per month), and the next 10 will continue the same schedule except that rent will increase annually at a rate of 2%.
Tesla "changed their plans" when the federal program to provide loans for companies making advanced alternative cars and the loan program favored companies taking over brownfield sites instead of building new factories.

With Downey’s agreement, the city will waive nearly $6.9 million in future rent payments on the 20 acres of land owned by the city, but currently used by IRG. The city will also relieve IRG of its obligation to provide space for a 40,000-square-foot learning center on its property and then Tesla decided to go back to Northern California…....back to Northern California.
Black John

Long Beach, CA

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#26
May 20, 2010
 

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I Love it, Hell with Downey.. Bunch of low life's. Downey's the next Hawaiian Gardens.
Ronald

Long Beach, CA

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#27
May 20, 2010
 

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Cigarettes are gross wrote:
Hey Ronald, Cigarettes are WAY worse than pot! Nothing disgusts me more than a hacking, wheezing cigarette smoker. Yuk! Cigarettes also kill more people than pot, and the stink of cigarettes lasts forever. Pot smokers are cleaner, have cleaner teeth, and do not smell as bad as cigarette smokers. Cigarettes are gross and taste lousy, and have no medicinal value, like pot does. Cigarettes are a nasty, highly addictive DRUG. Cigarettes are generally associated with old, bitter conservative men who have given up on city and country, and who have nothing better to do than bash everything via Press-Telegram forums. Smoke THAT!
Cigarettes are gross.

I have never questioned the propriety of those who have sexual proclivities that many of we hard working overtaxed Long Beachers consider to be outside the "normal". I tend to question, though, the benefits of any sexual release "the smellers" might get. I can understand their smelling bus seats where good looking guys have sat, but smelling decent hard working tobacco smokers? Even I must confess that is gross behavior.

Incidentally, Cigarettes are gross, if there were really a valid argument for the war against decent hard working women and men who smoke tobacco, Big News gatekeepers would let arguments of the few loan voices speaking out to the contrary to stand or fall on their own merits, rather than removing such postings.
big bill

Long Beach, CA

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#28
May 20, 2010
 
LONG BEACH BORN N RAISED wrote:
LONG BEACH(so called)city leaders have done nothing but bring this city down , if not , to a stand still .. The first & most dumbest thing that they did was NOT saving the REAL PIKE.. That could of , would of , should of been THE KNOTT'S/DISNEYLAND of LONG BEACH .. This city wouldn't be were it is.. The pike now , is nothing but FAKE as are city leader's ..
You don't know what you are talking about. The Pike is one of the best bars in the city. It is way better than the old Chipper's Corner. Heck, it is even better than Misty's down the street.
Ronald

Long Beach, CA

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#29
May 20, 2010
 

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*lone

Ronald
ursad

Bell, CA

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#30
May 20, 2010
 

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Hell with long beach, long beach already is the next hawaiian gardens, compare the murder and crime rate... moron.

This was good for the whole region. not just one city.
Black John wrote:
I Love it, Hell with Downey.. Bunch of low life's. Downey's the next Hawaiian Gardens.
Kennebreath

Long Beach, CA

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#31
May 20, 2010
 

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ursad wrote:
Hell with long beach, long beach already is the next hawaiian gardens, compare the murder and crime rate...****.
This was good for the whole region. not just one city.
<quoted text>
Easy there....let's not start fighting amongst ourselves. This is bad news to both cities and the region, not to say that this was the best kind of business to put all your chips on (sketchy business model), but they were good jobs. Nevertheless we should think ourselves in regional terms cause due to proximity what benefits one city benefits other cities in the region.
Kennebreath

Long Beach, CA

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#32
May 20, 2010
 

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Damon wrote:
Fremont! Just south of San Francisco. I would rather be up north then down here in socal. I will be moving to San Francisco proper. This is a great choice for Tesla. They have more people up there they would buy these cars too. Good luck Tesla. I don't blame you for staying up north.
So now you're over So Cal? I thought Malibu was your paradise? If you did move up North I'm sure you would have something negative to say about there too. It's a good thing you left, we want people who are dedicated to the community and have something to add not some flake who bails at the first complaint. Goo riddance.
StayAtHomeMom

Long Beach, CA

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#33
May 20, 2010
 

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Ask yourself this, how many of us could afford there expensive cars, not me, but up north, well theres where the dollars are ! Well have a wonderfull sunny day !
honu

Long Beach, CA

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#34
May 20, 2010
 

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Long Beach and Downey were both played by Tesla, just like L.B. was strung along by Disney a few years back.

No doubt Fremont coughed up serious incentives to land the plant for fear Tesla would locate down here. It's very likely that the company never really intended to set up shop in either city, they just played Fremont too.

Tesla did what's right by the company, Long Beach and Downey, in particular, started counting their chickens a bit early.
common

Bell, CA

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#38
May 21, 2010
 
Black John wrote:
I Love it, Hell with Downey.. Bunch of low life's. Downey's the next Hawaiian Gardens.
Having lived in Long Beach before, I must say, maybe you consider it a 3rd world city, as said above, but at least it's finances are run conservatively and is fairing the recession pretty well. No city layoffs, no teacher layoffs, decrease in crime, plenty of reserves for "Rainy days". Maybe being the 2nd biggest city in the county isn't great for everything LB. At least here when you need to talk to a council member or have something to say, it's heard.
Unit 801

La Habra, CA

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#39
May 21, 2010
 
It's a shame. Sorry Downey, great effort though. The southeast region needs efforts like this to continue. You are going to lose some, but jobs are the only thing that will turn the regional economy around. I'd like to know where our Congressional reps were. Did they offer any help? The LAEDC should analyze this deal, determine the causal factors of TESLA picking Fremont and advise local cities, County Supervisors and Legislators what they can do better next time. This was close. Don't give it up.
Baron Von Flufflepants

Whittier, CA

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#42
May 21, 2010
 

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Build an assembly plant or use an existing modern one? Good choice Tesla.
OC Surfer

Rancho Santa Margarita, CA

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#44
May 21, 2010
 

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To save Downey from falling into an illegal alien wasteland like a lot of cities in S.E. LA, and spur true job creation, and long term economic redevelopment, would be Downey to have a new UC Campus (or a similar prestigous private univerity). Downey is equally halfway between UCLA and UCI.

Having a UC Campus means graduates can create biotech and tech start-ups in the area and help transform the area to be a high-paying job area.
Angela Duits

United States

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#46
May 21, 2010
 

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Fremont be careful what you wish for. Tesla isn't the new King. You don't have a crystal ball. Fremont or Debtmont does make the difference. What about the $457 million Tesla government loan? Who is really paying for that? Oops, the California taxpayers. We are bankrupt for 13 years at $20 billion. Good Luck Debtmont.

Long Beach as usual needs to cleanup its attitude. We are a 2nd world City. What happened? We are bankrupt at $18.5 million. Why? Long Beach is the lowest income city in Los Angeles County. I don't wonder why.

Downey and Long Beach were both patsies. Another one bites the dust. Good bye Long Beach.

Angela Duits, Long Beach
Flower

Las Vegas, NV

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#47
May 21, 2010
 

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OC Surfer wrote:
To save Downey from falling into an illegal alien wasteland like a lot of cities in S.E. LA, and spur true job creation, and long term economic redevelopment, would be Downey to have a new UC Campus (or a similar prestigous private univerity). Downey is equally halfway between UCLA and UCI.
Having a UC Campus means graduates can create biotech and tech start-ups in the area and help transform the area to be a high-paying job area.
I agree with what you're saying but Downey is already and illegal alien and criminal wasteland. I think we're a little too late...
john

Pico Rivera, CA

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#48
May 21, 2010
 

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Damon wrote:
Fremont! Just south of San Francisco. I would rather be up north then down here in socal. I will be moving to San Francisco proper. This is a great choice for Tesla. They have more people up there they would buy these cars too. Good luck Tesla. I don't blame you for staying up north.
Get out of here then.
Mayor Bob

Long Beach, CA

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#50
May 21, 2010
 

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Just another non-success story by our Mayor Bob Fatster who again, and repeatedly, failed to attract a company willing to provide high paying jobs to Long Beach residents. All Mayor Blob cares about is doing deals and providing taxpayer's assets to his wealthy campaign contributor and developer friends.
john

Pico Rivera, CA

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#51
May 21, 2010
 

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Mayor Bob wrote:
Just another non-success story by our Mayor Bob Fatster who again, and repeatedly, failed to attract a company willing to provide high paying jobs to Long Beach residents. All Mayor Blob cares about is doing deals and providing taxpayer's assets to his wealthy campaign contributor and developer friends.
If this is true then there should be not tolerance for this and he should be criminally prosecuted.

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