{"id":206316,"date":"2026-03-05T23:20:06","date_gmt":"2026-03-05T23:20:06","guid":{"rendered":"https:\/\/www.newsbeep.com\/us-ca\/206316\/"},"modified":"2026-03-05T23:20:06","modified_gmt":"2026-03-05T23:20:06","slug":"rivian-opens-new-milpitas-location","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us-ca\/206316\/","title":{"rendered":"Rivian opens new Milpitas location"},"content":{"rendered":"

In a boon to the city, electric car manufacturer Rivian has opened a new facility in Milpitas<\/a>.<\/p>\n

Though the facility only creates a handful of jobs, it kicks off a multi-million dollar tax deal that could help net much-needed revenue to a city facing a growing deficit.<\/p>\n

\u201cIt\u2019s a win-win situation. It\u2019s gonna be beneficial to the city,\u201d said Milpitas Mayor Carmen Montano.<\/p>\n

The facility, dubbed a \u201cLast Mile Hub,\u201d will serve\u00a0as a space for sale and pick up of the vehicles, and\u00a0host inspections, leases and vehicle service. The hub is located on Yosemite Drive in Central Milpitas near Highway 680, and the city commemorated its opening with a ribbon cutting late last month.<\/p>\n

The Irvine-based company Rivian<\/a> was founded in 2009, and makes electric trucks and SUVs which currently boast price tags of $70,000 or more. Similar Rivian facilities in the Bay Area can be found in San Francisco and north San Jose.<\/p>\n

While Rivian has performed stronger than its peers, the EV market has faced headwinds<\/a> with the federal government\u2019s rollback of tax credits for EVs and weakening of efficiency standards.<\/p>\n

Since cars would be sold in Milpitas, the city could gain millions in sales taxes from the vehicles. In March 2025, Milpitas City Council approved an eight-year agreement to attract the car company to the city, where the company would receive a tax rebate in exchange for locating in Milpitas.<\/p>\n

For the first three years, Rivian would get a 35% rebate on its sales taxes, which would go up to 50% in the following years. The facility would also bring at least 25 jobs to the city, according to a staff report.<\/p>\n

\u201cMilpitas is now a key link in Rivian\u2019s mission to keep the world adventurous forever,\u201d said Tommy Carrillo, director of commercial facilities feal Estate at Rivian, in a statement. \u201cThe City of Milpitas has been an invaluable partner in bringing this project to life, and we are grateful for its collaboration.\u201d<\/p>\n

The city could gain more than $19 million in revenue over the eight-year contract. Though Rivian would receive $16 million in kickbacks through the deal, Montano painted that as an important incentive. \u201cYou give some to get some,\u201d she said.<\/p>\n

If the Rivian\u2019s sales predictions hold, the sales\u00a0taxes could help fill a multi-million dollar budget gap forecasted over the next five years<\/a>, said Milpitas Finance Director Luz Cofres\u00ed-Howe.<\/p>\n

City staff estimated a $19.2 million shortfall over the next five years, but these estimates did not include the potential revenue from the new Rivian location. Once the facility begins to pay sales tax, staff will update their forecast for the budget.<\/p>\n

Given the potential for the spot to serve as an economic salve to the city\u2019s financial ills, Cofres\u00ed-Howe expects the deal to be renegotiated before it expires in eight years.<\/p>\n","protected":false},"excerpt":{"rendered":"In a boon to the city, electric car manufacturer Rivian has opened a new facility in Milpitas. Though…\n","protected":false},"author":2,"featured_media":206317,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[29],"tags":[12598,15755,191,39317,88,90,89],"class_list":{"0":"post-206316","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-san-jose","8":"tag-electric-cars","9":"tag-electric-vehicles","10":"tag-milpitas","11":"tag-rivian","12":"tag-san-jose","13":"tag-san-jose-headlines","14":"tag-san-jose-news"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/posts\/206316","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/comments?post=206316"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/posts\/206316\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/media\/206317"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/media?parent=206316"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/categories?post=206316"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/tags?post=206316"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}