Rastegar to Build 530,000 SF Industrial Park Near Tesla’s Gigafactory in Austin

by John Nelson

AUSTIN, TEXAS — Rastegar Industrial, a division of Austin-based Rastegar Property Co., plans to build a 530,000-square-foot industrial park in Austin. The developer is targeting a third-quarter 2022 delivery and has tapped Newmark to market the property for lease.

The unnamed project will span 50 acres near State Highway 130 at 11708 McAngus Road, which is within an opportunity zone. The development will be situated near Tesla’s new Gigafactory, as well as Austin-Bergstrom International Airport.

“Austin is one of the fastest growing metros in the United States. The world’s greatest tech companies and manufacturers are all moving to the region, creating an imminent need for more industrial space,” says Ari Rastegar, founder and CEO of Rastegar Property Co. “State Highway 130 stretches all the way down to San Antonio and provides an alternative route to heavily congested Interstate 35, making it appealing to industrial facilities for distribution. It is the most active corridor in the entire region.”

Also along the State Highway 130 corridor, Chanel is completing a manufacturing facility and Formula 1 racetrack Circuit of the Americas is being redeveloped to include a hotel and water park.

Rastegar is banking on the high demand for contiguous industrial product in the greater Austin area. According to fourth-quarter 2020 research from CBRE, Austin’s industrial market has had 26 consecutive quarters of positive demand, despite the pandemic. As of year-end 2020 there were 15 industrial projects underway in the metro Austin area spanning nearly 1.6 million square feet.

Rastegar expects to have a tenant in place prior to construction to collaborate on site plans. No project team members have been named as of this writing.

The developer has made a heavy investment in its home market in recent months. In addition to the new industrial park, other investments in Austin include a new mixed-use development planned near Barton Springs Road on the south side; Lamar Oaks on the north side; The Edge at SoCo in South Austin’s Buckingham Ridge neighborhood; and Oakview Terrace Apartments and Mueller Square in the city’s Mueller district.

Rastegar Property Co. is a private real estate owner and developer based in Austin. The company primarily invests in ground-up and value-add projects in Austin, as well as other growth markets in the Southwest United States. Rastegar and its affiliates have co-invested in or directly own and operate more than 13.8 million square feet of real estate across projects in 13 states and 38 cities.

— John Nelson

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