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Tesla Inc. (NASDAQ:TSLA) has agreed to purchase a property on the fringes of Berlin as it moves closer to opening its European Gigafactory. The company’s board approved the deal to buy a 300-hectare property in Grunheide for the Gigafactory.

Tesla purchase 300-hectare land for $45 million

The electric car maker signed a contract to buy the land estimated at around $45 million, although this could change based on a review that will happen at the end of January. With the move, the company now has the go-ahead to commence construction on the site. Already the road leading to the site is being built after a video surfaced online showing some work on the gravel road.

Speaking on the deal, Brandenburg spokesman Florian Engels said that the state’s parliament finance committee had approved the sale of the property on January 9, 2020. He added that the property is situated in a designated industrial are and that it is currently being checked for any weapons from World War II.

The carmaker had announced last November of its plans to build a Gigafactory in Gruenheide in Brandenburg German. This will give it the “Made In Germany” label as local competitors prepare to unveil competing models.

Concerns about the environmental impact of the factory

Several unions, politicians have welcomed the move to build the Gigafactory in the area as it will create around 7,000 jobs in Brandeburg. However, some groups have raised concerns regarding the environmental impact that the factory will cause.

Some of the concerns that have been raised include the effects of deforestation and the threat to endangered bat species that might be affected by the construction timeline of the company. Equally, there are concerns about the source of water for the factory, but Tesla does not intend to take groundwater from the site. Tesla has promised to plant as many as 3x the trees they will cut down.

Last week there were protest s from the public, but the company responded by opening a community office to listen to the concerns.

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