High-profile electric automaker Tesla may soon have a roomy new Los Angeles property at its disposal. The Real Deal reports that the company signed a multi-year lease last week at a Del Rey building once occupied by Omnicom Group.
The deal would give Tesla more than 131,000 square feet of new office space 10 miles from its Hawthorne design studio and a stone’s throw from the many tech company outposts of Silicon Beach.
Neither Tesla nor building owner Pacific Properties Group have publicly confirmed the agreement, but a planning department case filing from last month shows that a new sign with Tesla’s name on it is planned for the building.
Located right alongside the 90 freeway, the building was listed earlier this year with an asking rent of $3.85 per square foot. Given the building’s size, that comes out to more than $500,0000 per month.
What the new facility might be used for isn’t yet clear (The Real Deal speculates that it could be a repair center), but the company has been significantly expanding its operations recently. In addition to the Hawthorne design studio and its Palo Alto headquarters, Tesla has a pair of factories in Fremont, California, and Storey County, Nevada.