Apple buys huge, 43-acre development site in San Jose for over $138 million

“Apple Inc. has purchased a roughly 43-acre development site in North San Jose in a blockbuster real estate transaction that comes just weeks after the Mac maker established its first major presence in the city,” Nathan Donato-Weinstein reports for The Silicon Valley Business Journal.

“Apple paid just more than $138 million for the property at 2347 North First St., according to a deed that I examined in person today at the Santa Clara County Clerk-Recorder’s Office,” Donato-Weinstein reports. “The deal comes on the heels of Apple’s lease of roughly 300,000 square feet from Ellis Partners in an already constructed building practically next door, marking Apple’s first significant presence in San Jose in decades. Cupertino-based Apple tends to grow wherever it leases or buys real estate, and the latest transaction shows that dynamic clearly playing out.”

“The possibilities with the latest transaction are wide open: The undeveloped land is approved for up to 2.8 million square feet of office space — about the same size as Apple’s under-construction Spaceship campus in Cupertino,” Donato-Weinstein reports. “What’s interesting in the latest transaction is that Apple opted to buy, not lease. It’s possible Apple wants more control over whatever it does there, and simply felt more comfortable owning the land. In addition to office space, Apple has been in the market for broad swaths of heavy R&D and industrial space, industry observers tell me. The latter could be read as a tantalizing sign of Apple’s interest in manufacturing, though such a possibility is for now market speculation.”

Read more in the full article here.

MacDailyNews Take: Apple Car factory. 😉

12 Comments

  1. Regarding the “Apple Car Factory” concept, let’s look at size. Apple bought a 43 acre site . . . The Tesla site (formerly NUMMI) occupies 370 acres, with the assembly building taking up approximately 125 acres . . . Of course, Apple could always use the site for developing car prototypes . . . or it just might be used for office space.

  2. It has been known since 2011 that Apple was working on Campus 3. Not surprised. They should be able to break ground shortly after they move in to Campus 2.

  3. Interesting, this property is adjacent to Avago, which just purchased Broadcom for several billion dollars.

    From their website:

    About Avago Technologies Limited

    Avago Limited is a leading designer, developer and global supplier of a broad range of analog semiconductor devices with a focus on III-V based products and complex digital and mixed signal CMOS based devices. Avago’s product portfolio is extensive and includes thousands of products in four primary target markets: wireless communications, enterprise storage, wired infrastructure and industrial and other.

    About Broadcom

    Broadcom Corporation is a global leader and innovator in semiconductor solutions for wired and wireless communications. Broadcom products seamlessly deliver voice, video, data and multimedia connectivity in the home, office and mobile environments. With one of the industry’s broadest portfolios of state-of-the-art system-on-a-chip solutions, Broadcom is changing the world by connecting everything.

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