Tesla plans to invest more than $150 million in a new Megafactory in Brookshire that will bring 1,500 manufacturing jobs to the area, Waller County officials said.

In a nutshell

The utility-scale battery factory will create Megapacks and provide energy in times of high electrical demand, according to the tax abatement agreement approved by commissioners at Waller County Commissioners Court March 5.

Tesla's facility will be a replica of the company’s Megafactory in Lathrop, California, Tesla Engineering Lead Shiv Mysore said at the meeting. The California facility can provide up to 40 gigawatt-hours of storage capacity per year, according to a video on Tesla’s YouTube.

What you need to know


Tesla, an automotive and clean energy company, already leases about 1 million square feet at 111 Empire Blvd. in Stream Realty Partners’ Empire West Business Park, said Vince Yokom, executive director of the Waller County Economic Development Partnership.

While a third-party logistics company has occupied the space, Tesla will now move in and make a “significant investment” toward the Brookshire area, Yokom said.

"A really important figure on this is the total salaries over a 10-year period, indirect and direct: $1 billion," he said. "So this is going to have a huge, significant impact on the Brookshire area, south Waller County and Waller County in general."

Stream Realty declined to comment for the story.


The details

Tesla's move into Brookshire will happen in two phases at the business park, according to agenda documents. Under the agreement, the entities will provide the following items in Phase 2:
  • Stream Realty will spend $44 million to improve the manufacturing facility at 111 Empire Blvd. for Tesla with electrical capacity and heating and cooling equipment
  • Tesla will spend about $150 million to install manufacturing equipment
For a future Phase 3, located at 103 Empire Blvd.:
  • Stream Realty will build a $31.5 million manufacturing facility
  • Tesla will install distribution equipment and make building improvements for an estimated cost of $2 million to $5 million
The agreement also states Tesla must hire 1,500 employees by its third year in operation, including:
  • At least 375 individuals by the end of the first year
  • At least 750 individuals by the end of the second year
  • 1,500 employees by the end of the third year and through the abatement period, which ends Dec. 31, 2035
What they’re saying

Precinct 4 Commissioner Justin Beckendorff said he was pleased to hear the Megafactory project would bring jobs providing a wide pay scale range. He said Tesla expects to offer approximately:
  • 1,000 jobs paying over $50,000 annually
  • 300 jobs paying over $60,000 annually
  • 150 jobs paying over $100,000 annually
  • 50 jobs paying close to $150,000 annually
The median household income in Waller County is the second lowest among six Houston-area counties, according to five-year estimates from the U.S. Census Bureau's American Community Survey. It's also lower than the state's median income of $76,292.

“This gives good-paying jobs right here in Waller County, so you don’t have to drive into Houston or the surrounding area to have a good income,” Beckendorff said. “We look forward to having you as a partner in our community.”
Next steps


Construction and opening timelines aren’t included in the agreement, but the abatement period begins Jan. 1, 2026.

Waller County’s tax abatement agreement is contingent on the city of Brookshire also approving an abatement for Tesla, according to agenda documents. Brookshire City Council is set to consider the abatement agreement at 7 p.m. March 6.