A 134-acre project will join the numerous industrial facilities now underway near the Tesla manufacturing plant in Southeast Austin.

Austin Hills Commerce Center broke ground recently at 11801 Decker Lake Road, off state Highway 130 a few miles north of Tesla  gigafactory and about 10 miles south of downtown. The complex will have nearly 1.4 million square feet of industrial space when completed.

The initial phase of Austin Hills Commerce Center will consist of three buildings totaling 538,000 square feet, and plans for the development call for six buildings totaling roughly 1.3 million square feet. The first phase is scheduled to be delivered in the second quarter of 2025. The second phase will be 682,000-square-foot building with an expected completion date in the third quarter of 2025, and the final phase will be two buildings totaling 132,000 square feet, estimated to be finished in the first quarter of 2026.

St. Louis-based Sansone Group and investment company Principal Asset Management, headquartered in Iowa, are partnering to develop the center. Burton Construction is the general contractor for the project, and Stream Realty Partners has been appointed as the leasing agent.