Mr. Musk announced on Twitter today:
The Model 3 will be offered in both sedan and crossover versions, which may explain delays encountered thus far.Model 3, our smaller and lower cost sedan will start production in about 2 years. Fully operational Gigafactory needed.
The Gigafactory is needed apparently, and it that's the case, recent drone photos of the building site don't show it being anywhere close to final construction stages. The factory has a planned grand opening in April 2016.