Tesla Decides on Model S Plant

Tesla has been doing quite well for itself lately - new stores are being opened around the world, profitability was reached in July and biggest of all, the Department of Energy approved Tesla's loan for the Model S.

Most recently though, Fisker has captured a lot of the attention - announcing Project NINA, getting DOE loans of its own and purchase of a former General Motors plant in Wilmington, Delaware. Despite getting the money first, Tesla's search has taken longer. Apparently, a site has been selected for production.

Originally, a "greenfield" in San Jose was the planned location for Tesla's manufacturing facility and headquarters. Tesla narrowed down its search to California, as the state has provided incentives that make it  attractive. A former location under consideration was in New Mexico.

One of the strings attatched to the DOE loans is the requirement for Tesla using a "brownfield" site (in order to be environmentally friendly). Using a "brownfield" means redeveloping an existing manufacturing facility.

Two cities in Southern California - Downey and Long Beach, were in the running for the Model S plant. Local newspapers in the area are breaking the news that Downey is the winner.

Downey's Mayor Mario Guerra has told the Downey Patriot that the deal is "99.9 percent done." Downey City Council is supposedly meeting as early as tonight to officially approve the deal. If approved, the City of Downey would turn the 80-acre site (formerly a NASA facility) over to a development company working on behalf of Tesla.