Electric Car Manufacturing Plant Could Change Fort Worth's Economic Landscape

Arlington TX

14 August, 2021

9:27 AM

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By Kristen Barton, Fort Worth Report August 12, 2021 If Rivian Industries Inc. chooses Fort Worth as the location for its $5 billion factory, it would become the second-largest employer in the city by 2027, ranking behind only American Airlines. The proposed project site for a Rivian factory at Walsh Ranch. (Contributed by Economic Development Department)According to a presentation from the Economic Development Department to the City Council, the electric car company is in talks to build a factory in west Fort Worth. Rivian, which city officials referred to as Project Tera, would bring a minimum of 7,500 jobs by 2027. "While nothing is finalized at this time, it is incredibly exciting that Fort Worth is being considered as a finalist for this project, which would be a phenomenal opportunity for our city," Mayor Mattie Parker said in a written statement. Bloomberg News described Fort Worth as the front-runner for the plant. According to the presentation, Rivian plans to manufacture over 200,000 vehicles per year, some of which are for Amazon. The minimum average employee salary would be $56,000. The city and the state of Texas are working together to offer tax incentives that could exceed $500 million.The Rivian plant would be one of the largest projects in the state's history, according to the city presentation. "Fort Worth has a history of producing some of the most cutting-edge vehicles on earth, so we're very excited to be a finalist for this project and look forward to continuing the process," Robert Sturns, the city's director of economic development, said in a written statement. Kenneth Barr, former mayor and current chair of the Real Estate Council of Greater Fort Worth, said there are a lot of reasons a company like Rivian, based in Irving, Calif., would choose Fort Worth to build a factory. One reason is Fort Worth's geographic location with equal travel time between the East and West coasts. The city also has good highway, airway and railway access. In addition, he said, the city has a strong manufacturing history. Companies like Bell Helicopter and Lockheed Martin came to Fort Worth because of its geography and workforce, he said. City leaders have identified economic development as a top priority because of job losses in recent years, including the closing of the corporate headquarters for Radio Shack and Pier 1. The jobs created by Rivian would have a multiplying effect, Barr added. "New developments, investments like this, will tend to attract others to make the same kinds of investments," he said. "Any manufacturing company like this will attract suppliers to locate nearby." The land being considered for the site is part of Walsh Ranch. Spokesman Greg Miller said the ranch is 7,200 acres, 1,600 of which are being used for residential development. The land being considered equals 2,000 acres. The ranch is located to the west of where I-20 and I-30 converge. The residential development is north of I-20. The factory would be located south, on land already zoned for commercial and industrial use. Miller said it is unlikely those in the residential area would even see the construction. Miller said the property also would be near the Union Pacific railroad, allowing for easy interstate and railway access. All of these factors could bring the significant project to the city, which Barr said can lead to other benefits in the future. "Most of all, it represents job opportunities, good paying jobs, with benefits I suspect, and that helps our economy," Barr said. "And anything that makes the economy stronger is good for real estate." Fort Worth Report is a nonpartisan, nonprofit news organization that produces factual, in-depth journalism about city and county government, schools, healthcare, business, and arts and culture in Tarrant County. Always free to read; subscribe to newsletters, read coverage or support our newsroom at fortworthreport.org.