Tesla has agreed to buy a property on the outskirts of Berlin, bringing it a step closer to opening its first European factory, Reuters reports, citing local authorities in Germany.
The US electric carmaker last November announced plans to build a giant factory in Gruenheide, in the eastern German state of Brandenburg.
Tesla’s board of directors approved a purchase agreement with Brandenburg on Saturday to acquire a 300-hectare site, the local government was quoted as saying in a statement.
The state parliament’s finance committee had already approved the sale on January 9.
The agreement states a preliminary property price of 40.91 million euros (US$45.36 million) which can be amended if an external review provides a different value.
The property is in a designated industrial area and is being checked for weapons from World War II as there are most likely unexploded US bombs still in the ground.
Politicians, unions and industry groups have welcomed Tesla’s move which is expected to create up to 7,000 jobs in Brandenburg.
But some 250 locals took to the streets to protest on Saturday, fearing the factory could endanger the water supply and wildlife in the surrounding forest, the report said.
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