Continental, which manufactures components for autonomous driving techniques, has accomplished a $110 million, 215,000-square-foot facility in New Braunfels, Texas. The brand new plant is positioned about 15 miles from one other Continental facility in Seguin, Texas.
The Germany-based firm—which additionally has services in Auburn Hills, Mich., and Santa Barbara, Calif.—held a ribbon-cutting ceremony Tuesday to mark the tip of the development course of that started in 2020, however was delayed by the pandemic. Greater than 150 state and native officers in addition to group members attended the occasion and toured the brand new plant, which has already begun operations. The corporate expects to ramp up manufacturing, add extra staff in 2023 and attain about 580 workers over 4 years.
Positioned on 48 acres off Interstate 35, the plant is a part of Continental’s Autonomous Mobility enterprise space and can manufacture radars, sensors and different merchandise for superior driver help techniques (ADAS) which are the inspiration of assisted and automatic driving.
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With the brand new location, Continental is increasing its R&D and manufacturing capabilities within the U.S. The 320,000-square-foot Seguin plant operates beneath the title Vitesco Expertise and employs greater than 1,500 folks within the firm’s powertrain division.
Frank Petznick, member of the agency’s Automotive Board and head of Enterprise Space Autonomous Mobility, mentioned in a ready assertion that Continental has been researching and creating ADAS techniques for greater than 25 years. Petznick added that the brand new plant will play a important function as the corporate grows its ADAS enterprise in North America and also will help its aim of imaginative and prescient zero—zero visitors fatalities, accidents and crashes on roadways.
Native incentives
Continental has obtained about $5.5 million in incentives for the New Braunfels plant, in accordance with native media reviews. Comal County commissioners and New Braunfels Metropolis Council members permitted separate incentive packages in 2019, together with 10-year property tax rebates if sure employment and wage ranges are met by the corporate. The New Braunfels Financial Growth Corp., which is funded by a chosen gross sales tax, supplied cash to the corporate for infrastructure, land acquisition and sewer enhancements.
At Tuesday’s ceremony, Continental donated a complete of $20,000 to the New Braunfels and Comal Impartial college districts to help the Profession and Technical Training Manufacturing applications supplied by the districts. New Braunfels Mayor Rusty Brockman mentioned in ready remarks town is worked up to see Continental develop in the neighborhood and create well-paying jobs in engineering and manufacturing.
Booming industrial market
New Braunfels is positioned halfway between San Antonio and Austin, and is a part of the San Antonio industrial market. The general emptiness out there is 7.5 %. In New Braunfels, the manufacturing emptiness is 2.3 % and total industrial emptiness, together with warehouse and distribution, is 1.9 %, in accordance with a JLL report for the second quarter. The San Antonio industrial market has skilled 11 quarters of optimistic absorption as of the second quarter, and that streak was anticipated to proceed by means of the third quarter as a result of a gentle improvement pipeline, hire development and customers making ready to occupy, JLL additionally reported.
A CBRE report on rising industrial markets launched within the spring famous the Texas I-35 industrial hall continues to develop at a fast tempo. The report acknowledged New Braunfels is among the many fastest-growing cities within the nation, attracting many manufacturing and distribution customers. With the inflow of latest residents and firm relocations, strong industrial exercise is anticipated to proceed.
