California Governor Arnold Schwarzenegger helped Tesla Motors announce today that the company has chosen to build a manufacturing plant in the Bay Area for its new electric sedan, the Tesla Model S. Schwarzenegger currently owns the $109,00 Tesla Roadster which gets 227 miles on one charge with a 0-60 time of 3.9 seconds and a top speed of 125mph.
Tesla said that the Tesla Model S will go into production in late 2010 and will cost about $60,000. The sedan is expected to get 225 miles on a full charge. More details on the 5-seater sedan will be released at later date.
Under the deal, California will use the California Alternative Energy and Advanced Transportation Financing Authority to finance the purchase of $100 million worth of manufacturing equipment needed to build the Tesla Model S. The equipment will then be leased to Tesla who will pay California, helping to pay off the equipment purchase.
At the end of the lease term Tesla can buy the manufacturing equipment from California without having to pay sales tax. That will save Tesla an estimated $9 million.
We’re just wondering what Fisker is thinking right now.