It’s official — electric car-maker Tesla Motor’s coveted battery factory is headed for Nevada.
Republican Gov. Brian Sandoval signed legislation late Thursday that would give Tesla $1.3 billion in tax incentives to locate the $5.5 billion to $6 billion within the state.
“The Legislature has confirmed that this package is indeed in the best interest of our citizens and is good for Nevada. On behalf of my staff and the Governor’s Office of Economic Development, I am proud to officially welcome [Tesla CEO] Elon Musk and Tesla Motors to the Nevada family,” Sandoval said in a statement.
Nevada beat out Arizona, New Mexico, Texas and California for the “gigafactory,” as it’s known. It’s projected to bring 20,000 jobs and $100 billion to the economy in 20 years.
The tax incentives, hammered out over a two-day special legislative session, no doubt helped lure the firm, as did the proximity to its Fremont, Calif., assembly plant.
Under the agreement, Tesla won’t pay property or payroll taxes for up to 10 years and wouldn’t have to fork over local sales or use taxes for 20 years, according to the Associated Press. But Tesla would need to return all that money if the project fails to bring $3.5 billion of economic activity to Nevada within the decade.
