Green light given to sell park for Tesla factory

The City of Marion can proceed with plans to sell a Tonsley park to a developer looking to build a Tesla factory, after the state government approved the proposal.

Aug 07, 2025, updated Aug 07, 2025
Community group Save Our Trees was concerned about losing significant trees at the reserve. Photo: Save Our Trees/Facebook
Community group Save Our Trees was concerned about losing significant trees at the reserve. Photo: Save Our Trees/Facebook

Local Government Minister Joe Szakacs has approved a proposal to revoke community land status at Chestnut Court Reserve in Tonsley, giving the council permission to sell the plot.

It paves the way for developer MAB CCT to buy the land and adjacent lots for the construction of a Tesla battery factory.

The City will make a final decision on the revocation in three weeks’ time, City of Marion Mayor Kris Hanna said.

As part of the future development, 58 trees would be required to be removed, including two significant trees and 28 regulated trees. 62 trees would be required to be planted to offset the removals.

Council said a commitment had been made to maintain at least three of the four trees on the site.

The factory would repurpose Tesla batteries and also include a servicing facility and showroom for Tesla vehicles.

An estimated 100 jobs would be created, said the council, which would also purchase nearby Ash Avenue Reserve with proceeds from the sale.

MAB CCT would also be responsible for rehabilitating Chestnut Court Reserve, which has not been accessible to the public since 2016 due to contamination concerns.

Via City of Marion

Szakacs said his decision was made “following careful consideration”.

He said he was satisfied with the City’s plans to ameliorate issues surrounding tree maintenance and the availability of recreational and open space.

Stay informed, daily

“Our government warmly welcomes investment and the creation of jobs in our state,” Szakacs said.

“We are also committed to delivering 100 per cent net renewables by 2027 and broadly support initiatives that assist efforts to decarbonise.

“While I note genuine community concern around tree maintenance and the availability of open spaces, I am satisfied with the Council’s plans to address these issues.

“I strongly encourage Marion Council to keep Ash Avenue Reserve open to the community as recreational land for the longer term.”

Just In