Tesla poised to bring ‘megafactory’ to Houston area with 1,500 jobs

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The Waller County Commissioners Court approved tax abatements this week for Tesla to develop a "megafactory" in Brookshire. Photo via tesla.com

Tesla is expected to bring a “megafactory” and 1,500 manufacturing jobs to the Houston area.

According to various news reports this week, Tesla intends to spend $200 million on a facility in Brookshire, Texas. The Waller County Commissioners Court approved tax abatements on March 5 for the new plant.

“We are super excited about this opportunity—1,500 advanced manufacturing jobs in the county and in the city," Waller County Precinct 4 Commissioner Justin Beckendorff said during Wednesday’s Commissioners Court meeting.

Tesla will lease two buildings in Brookshire's Empire West Business Park. According to documents from Waller County, Tesla will add $44 million in facility improvements. In addition, it will install $150 million worth of manufacturing equipment.

As part of the deal, Tesla will invest in property improvements that involve a 600,000-square-foot, $31 million manufacturing facility that will house $2 million worth of equipment and include improvements to the venue.

The facility will produce Tesla megapacks, which are powerful batteries to provide energy storage and support, according to the company. A megapack can store enough energy to power about 3,600 homes for one hour.

Tesla can receive a 60 percent tax abatement for 10 years. According to the tax abatement agreement, Tesla has to employ at least 1,500 people by 2028 in order to be eligible for the tax break.

In addition to the employment clause, Tesla also will be required to have a minimum of $75 million in taxable inventory by January 1, 2026, which will increase to $300 million after three years.

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Houston falls in new ranking of world's best startup ecosystems

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Houston fell out of the top 50 in this year’s ranking of the cities with the world’s best startup ecosystems.

In the 2025 Global Startup Ecosystem Index, published by economic research platform StartupBlink, Houston lands at No. 52 among the world’s top cities for startup ecosystems. That’s down four places from its No. 48 showing in 2024.

In the U.S., Houston’s startup ecosystem ranks 18th, up one spot from 2024.

According to the StartupBlink index, Houston’s startup ecosystem notched an annual growth rate of 13.4 percent. StartupBlink’s sample database contains 899 Houston startups.

Regardless of Houston’s ecosystem ranking, the Greater Houston Partnership touts the city’s startup scene.

“Houston’s innovation ecosystem is a dynamic hub that nurtures startups across diverse industries,” says the partnership. “With a strategic location, robust infrastructure, and a supportive community, Houston offers unparalleled opportunities for entrepreneurial success.”

Elsewhere in Texas, Austin ranks 16th in the world (up from No. 17 last year) and Dallas ranks 27th (down from No. 25 last year). Nationally, Austin appears at No. 6 (up from No. 7 last year) and Dallas appears at No. 10 (unchanged from last year).

StartupBlink says that between 2021 and 2025, Austin, Paris, Singapore, Tokyo, Shenzhen and Seoul emerged as long-run winners in the global top 20. Austin recorded an annual ecosystem growth rate of 24.1 percent.

San Francisco topped this year’s global list, followed by New York City, London, Los Angeles, and Beijing.

“Successful startups and unicorns often emerge from the top startup ecosystems as these cities offer dozens of advantages, including access to investors, high-quality clients, potential co-founders and team members, reliable suppliers, and a vast knowledge base,” says StartupBlink.

Overall, StartupBlink analyzed 1,473 cities. The index judges cities based on data in three categories:

  • Quantity, measuring an ecosystem’s level of activity.
  • Quality, gauging an ecosystem’s impact and success.
  • Business environment, evaluating overall support of startup growth.

“The ecosystem in which your startup operates matters,” StartupBlink says. “If you find yourself in an underperforming ecosystem that lacks the necessary resources and support, you are faced with a choice: either relocate to an overperforming location or lead it.”

New report deems Houston's I-45 expansion a "freeway without a future"

Houston Highways

A national nonprofit organization advocating for the removal of freeways across the country has named the Interstate 45 expansion in Houston on its 2025 list of "freeways without futures."

The latest report from Congress for the New Urbanism (CNU) included nine U.S. freeways where the infrastructure is "nearing the end of its functional life." The report also highlights local efforts and campaigns offering an alternative solution that reconnects and prioritizes local communities while addressing environmental and ecological damage.

Currently in the initial stages of construction, the I-45 expansion project, dubbed the North Houston Highway Improvement Project (NHHIP), aims at reconstructing I-45N between downtown and the north Sam Houston Tollway, as well as segments of connecting freeways.

Promised improvement areas include I-45 from Beltway 8 to I-10 and I-45 through downtown along I-10 and US 59/I-69. Portions of I-10 and US 59/I-69 will be improved as well, per TxDOT. Most notably, the project will remove the Pierce Elevated portion in downtown Houston and reroute I-45 to run parallel to I-10 and Highway 59, resulting in the demolition of existing properties between the freeway and St Emmanuel St.

The CNU report states that the construction of I-45 in the 1950s and 1960s brought significant changes to the local communities around it. Highway construction led to the demolition of many homes and local businesses, thus displacing area residents and dividing their neighborhoods.

The report also mentioned significant environmental consequences, like air and noise pollution, that have plagued the areas surrounding the freeway.

"For decades, residents in areas like Near Northside, Fifth Ward, and Independence Heights have faced elevated levels of air pollution from vehicle emissions, contributing to higher rates of asthma and respiratory illnesses," the report said.

Additionally, the report claims that worsening stormwater runoff from the concrete infrastructure has also led to significant flooding issues due to a lack of natural drainage.

"Increased concrete and impermeable surfaces prevent natural drainage, leading to localized flooding, which threatens homes and public health — especially for those who lack resources for flood mitigation," the report said.

CNU claims further expansion of Houston's highway system could eventually lead to the loss of the city's bayous, while also diminishing the remaining flood-absorbing land. Other repercussions like air pollution and heat island effects may also worsen, the report argues, and these ramifications would most likely harm the predominantly Black and Hispanic neighborhoods near the freeway.

A grassroots campaign against Houston's highway expansion

CNU referenced a key alternative to Houston's highway expansion, Stop TxDOT I-45, which has garnered a small but vocal group of local activists who want to see the city re-envision its highway infrastructure.

The campaign demands that the North Houston Highway Improvement Project (NHHIP) stop expanding I-45 and instead seek "solutions that prioritize people, protect [the] environment, and build true resilience." Namely, it proposes the redirection of NHHIP funds toward "people-centered investments" to improve and transform public transit access, while also restoring green spaces and thus creating healthier neighborhoods throughout Houston.

Environmentally conscious Houstonians aren't the only fans of these measures: The report says Stop TxDOT I-45 may have also had an influence on late former Houston Mayor Sylvester Turner, although he signed a Memorandum of Understanding with TxDOT that allowed the project to proceed.

"During his time as Mayor of Houston, the late Congressman Sylvester Turner proposed Vision C — an alternative to NHHIP that embraced equitable public transit and environmental sustainability," the report said. "But TxDOT never took the proposal seriously, and today there is no political will to pursue it."

Other "freeways without futures":

The only other Texas highway included in CNU's 2025 report is I-35 in Austin, which has been included in every "Freeways without Futures" report as far back as 2019.

Other U.S. freeways mentioned in the report include:

  • NY State Routes 33 and 198 in Buffalo, New York
  • Interstate I-980 in Oakland, California
  • Interstate 175 in Saint Petersburg, Florida
  • IL 137/Amstutz Expressway/Bobby Thompson Expressway in Waukegan and North Chicago, Illinois
  • DuSable Lake Shore Drive (US 41) in Chicago, Illinois
  • US-101 in San Mateo County, California
  • US-35 in Dayton, Ohio
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This article originally appeared on CultureMap.com.

Houston universities earn top marks for research and student opportunity

top of class

The American Council on Education and the Carnegie Foundation for the Advancement of Teaching recently released its new Research Activity Designations, which named several Houston universities to its Very High Research Spending and Doctorate Production, or R1, tier.

The R1 status means that universities meet $50 million in total annual research spending and 70 research doctorates awarded annually. This year, 187 institutions were given the designation, according to the Carnegie Foundation.

The 2025 categorizations were made using an updated methodology to be "more reflective of the wide range of higher education institutions across America and how well they serve their students," according to a release. Until now, research activity was included in the foundations' Basic Classifications. This year was the first year the Research Activity Designations were published separately.

“These updates to the Carnegie Classifications are the first step to bring a decades-old system into the 21st century. We are expanding our recognition of the range of ways colleges and universities engage in research and development,” Timothy F.C. Knowles, president of the Carnegie Foundation, said in the release. “And we are taking the guesswork out of what it takes to be recognized as an R1 institution. Over time, this will be good for the sector, for scholarship, for policymakers and for students.”

Here are the Houston institutions to receive the R1 designation:

  • Baylor College of Medicine
  • Rice University
  • The University of Texas Health Science Center at Houston
  • The University of Texas MD Anderson Cancer Center
  • University of Houston

The foundation also released new Student Access and Earnings Classifications, which honor colleges that serve a student body representative of their local community and help achieve competitive post-graduation earnings.

UH was the only Houston college to earn the Opportunity College & University – Higher Access, Higher Earnings (OCU) designation, and was one of only 21 universities in the country to earn it in addition to the R1 status for research.

“Maintaining our new Opportunity College and University designation reflects our unwavering commitment to access and economic mobility for all students, while our R1 research status speaks to the strength of our faculty and the transformative scholarship happening on our campus,” UH president Renu Khator said in a news release.

Just 16 percent of U.S. colleges and universities received the OCU designation. The classification comes from publicly available data from the U.S. Department of Education’s College Scorecard, the Integrated Postsecondary Education Data System and the U.S. Census Bureau. The classification considers the percentage of Pell Grant recipients, the number of underrepresented students enrolled, the median undergraduate earnings eight years after enrollment and other factors.

“These recognitions help tell the full story of our institution’s impact,” Diane Z. Chase, senior vice president for academic affairs and provost at UH, added in the release. “UH is a powerhouse for ideas, innovation and opportunity. We are changing lives through discovery, access and economic mobility—not only for our students, but for the communities we serve.”

Comparatively, Rice earned a Lower Access, Higher Earnings designation. The other Houston universities were not classified in the Student Access and Earnings Classifications.

In 2024, Rice University was one of 25 U.S. colleges and universities to receive the first Carnegie Leadership for Public Purpose Classification. The classification highlights colleges that have committed to “campus-wide efforts to advance leadership in pursuit of public goods like justice, equity, diversity and liberty.” Read more here.

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