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Tesla Motors, the San Carlos-based electric car manufacturer, will be setting up shop in Menlo Park, the city announced Monday night.

Tesla is the company behind the anticipated high-end electric sports car, the Tesla Roadster, set to hit dealerships this fall.

The automaker hopes to have a dealership and service center up and running at the former Anderson Chevrolet dealership at 300 El Camino Real by the end of the year, said Darryl Siry, vice president of marketing, sales and service for Tesla.

The former Anderson Chevrolet site is one of five abandoned auto lots along El Camino Real in Menlo Park.

Mr. Siry said Tesla has signed a lease with Stanford University, which owns the 2.6-acre site adjacent to the Stanford Park Hotel. He said he did not know the length or specific terms of the lease, but noted the site will serve as a hub for Tesla sales and service for all of Northern California.

"We think Menlo Park is an ideal place for us," Mr. Siry said, noting that residents of the immediate area are in Tesla's "target market."

"The location has great visibility with the types of people who are likely to consider buying a Tesla," said Mike Harrigan, Tesla's vice president of customer service and support, in a press release.

Mayor Kelly Fergusson said Tesla is a good fit for the city.

"Tesla's vehicles and corporate philosophy are consistent with Menlo Park's history and culture of innovation, high-tech investment, and emphasis on green technology," she said.

Tesla's headquarters will remain in San Carlos, Mr. Siry said. He added that the automaker was looking to establish a dealership and service center away from other dealerships -- an approach that ruled out auto malls, including the auto mall planned near U.S. 101 and Willow Road in Menlo Park.

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