Apple Signs Lease for Large Manufacturing Facility in Milpitas, California

by

Apple has reportedly signed a 10-year lease for nearly 314,000 square feet of industrial manufacturing space in Santa Clara County, California (via Silicon Valley Business Journal).

The agreement between Apple and project developer McCarthy Ranch is for a single-story warehouse facility located at McCarthy Creekside, a new multiphase development in the city of Milpitas, for which Apple is said to be paying around 90 cents per square foot.

Render depicting corner of 800,000 square foot industrial development in Milpitas

Silicon Valley's vacancy rate was already a miniscule 1.5 percent, but the deal has reportedly made it hit an all-time low of just to 0.7 percent, according to the Journal.

"The shortage of available warehouse space is restricting tenant mobility,” Lena Tutko, research manager for Colliers International, said. "Warehouse users are often left with two options: renewing their lease, as seen by the top four of five deals of the third quarter, or relocate outside of the Valley."

It's not yet clear what Apple's plans are for the industrial space north of San Jose, but developer Joey McCarthy told the Journal that McCarthy Creekside is purpose-built for "industrial, R&D, [and] manufacturing."

Aside from specialist operations like the Mac Pro facility in Austin, Texas, the vast majority of Apple's manufacturing takes place outside of the U.S., which adds an extra layer of intrigue to the company's intentions in Milpitas.

On the other hand, the space could indicate an expansion of Apple's autonomous car project. Apple is believed to be using several Bay Area facilities for its self-driving car research, while McCarthy Creekside is already home to autonomous driving R&D, with a building on the development having been leased to electric vehicle maker SF Motors.

Related Roundup: Apple Car

Top Rated Comments

(View all)
Avatar
23 months ago
It’s an Emoji R&D Headquarters.
Score: 20 Votes (Like | Disagree)
Avatar
23 months ago

Of course not but there would be if they stopped Chinese production. While I’ve never had a Mac Pro, I’ve always admired seeing USA on them. It’s a sign of the best quality with no compromises.

No, it’s a sign of your imagination trying to present itself as fact.

It’s like my guitars and amps. When I look at the back of my Mesa Boogie tube head and see handbuilt in Petaluma, California it just makes me feel good.

That’s nice and all but ¯\_(ツ)_/¯?

That means that it was put together by proud workers who care about making the beat stuff possible.

In order for the above to be true, you would need to show data substationing that statement.
Otherwise, again it’s just your imagination working overtime.
Score: 15 Votes (Like | Disagree)
Avatar
23 months ago

If a MacBook Pro suddenly had Designed in a California/Assembled in California on it I would pay $1k more. It’s nice to see made in America for a change.

I don’t know you, but sorry I really highly doubt that’s true. If there was an option for the $2500 MacBook assembled in china and then the exact same thing for $3500 assembled in the US, I don’t see you opting for the $3500 model.
Score: 14 Votes (Like | Disagree)
Avatar
23 months ago
They have to make all those Apple Watch bands somewhere.
Score: 9 Votes (Like | Disagree)
Avatar
23 months ago

Then why would I buy this? There are much cheaper options trust me! I don’t care about paying for quality.



Score: 8 Votes (Like | Disagree)
Avatar
23 months ago

Aside from specialist operations like the Mac Pro facility ('https://www.macrumors.com/2014/06/06/cook-visits-mac-pro-factory/') in Austin, Texas...

There’s a Mac Pro facility? What on Earth do they do there?
Score: 8 Votes (Like | Disagree)

Top Stories

Apple Warns Against Closing MacBooks With a Cover Over the Camera

Friday July 10, 2020 11:12 am PDT by
Apple this month published a support document that warns customers against closing their Mac notebooks with a cover over the camera as it can lead to display damage. Image via Reddit Apple says that the clearance between the display and the keyboard is designed to very tight tolerances, which can be problematic. Covering the camera can also cause issues with automatic brightness and True Tone....

iPhone Users Who Experienced 'Batterygate' Can Now File to Receive Around $25 Settlement From Apple

Monday July 13, 2020 6:50 am PDT by
Earlier this year, Apple agreed to settle a U.S. class action lawsuit that accused the company of "secretly throttling" older iPhone models. Now, eligible iPhone owners are beginning to be notified about their legal rights and options. Under the proposed settlement, Apple will provide a cash payment of approximately $25 to each eligible iPhone owner who submits a claim, with its total payout ...

Possible 'iPhone 12' Battery Certifications Suggest Lower Capacities Than iPhone 11 Series

Monday July 13, 2020 4:22 am PDT by
MySmartPrice has spotted certifications for three new Apple batteries that it believes could be for the upcoming iPhone 12 lineup, despite them being less capacitive than the batteries in the current iPhone 11 series. The batteries are identified with the model numbers A2471, A2431, and A2466, and appear on Safety Korea, China's 3C, and the Danish agency UL Demko. Apple is expected to...

Google to 'Dramatically' Improve Chrome Impact on Mac Battery Life

Sunday July 12, 2020 1:56 pm PDT by
Google will address long-standing battery life issues, particularly on Mac devices, reports The Wall Street Journal. Chrome will improve "tab throttling" by better prioritizing active tabs and limiting resource drain from tabs open in the background. This is said to have a "dramatic impact on battery and performance." Google has reportedly been performing early tests on Mac laptops in...

Arm-Intel-PowerPC Universal Binaries Are Possible

Saturday July 11, 2020 1:42 pm PDT by
Casual MacRumors visitors may not realize that we have a very active PowerPC forum where users discuss issues related to PowerPC Macs that have not been produced since 2006. Threads range from hardware upgrades and software options to nostalgia: Photo by AphoticD Apple's recently announced transition to Apple Silicon (Arm) based Macs raised some interesting questions about future support...

Apple Pays Samsung an Estimated $950 Million for Missing OLED Panel Purchase Targets

Monday July 13, 2020 10:03 am PDT by
Apple in the second quarter of 2020 paid Samsung approximately $950 million for not meeting OLED panel purchase goals established in agreements between the two companies, according to display analysts at Display Supply Chain Consultants. Samsung last week shared guidance on revenue and operating profit for the second quarter of 2020, which included a one-time gain related to its display...

Apple Shares Humorous 'Working-From-Home Thing' Video

Monday July 13, 2020 9:31 am PDT by
Apple today shared a funny video focused on the problems that people working from home have to deal with, including noisy children, chaotic schedules, communication issues, and more. The video focuses on showing off Apple products and their capabilities that can be useful when working from home, such as the ability to scan a document with an iPhone, mark up a PDF, Siri Reminders, and more.The...

SoftBank Considering Possible Sale of Arm Holdings as Apple Gears Up for Arm-Based Macs

Monday July 13, 2020 2:00 pm PDT by
SoftBank, the company that owns chip designer Arm Holdings, is exploring options that include a full or partial sale or a public offering, reports The Wall Street Journal. SoftBank is working with Goldman Sachs Group as an advisor, and the explorations are at an early stage. The Wall Street Journal says that it's unknown how much interest there would be in Arm from financial or industry...

Rumor Suggests New Apple App for Windows Could Be Coming Soon

Tuesday July 14, 2020 1:54 am PDT by
Apple could be working towards the release of a new app for Windows 10, according to a report this week from an Italian website. The blog Aggiornamenti Lumia suggests that an app from Apple is "coming soon" to the Microsoft Store, but stops short of providing additional details. Apple still maintains a Windows version of the iTunes app, which has been discontinued on Mac and replaced by...

Deals: Amazon Taking $400 Off 16-Inch MacBook Pro, Starting at New Low Price of $1,999.99 for 512GB

Monday July 13, 2020 5:34 am PDT by
Amazon has introduced a new low price on Apple's 16-inch MacBook Pro today, including both 512GB and 1TB models. Starting with the 512GB model (2.6GHz 6-Core, 16GB RAM), you can get this notebook for $1,999.99, down from $2,399.00. Note: MacRumors is an affiliate partner with Amazon. When you click a link and make a purchase, we may receive a small payment, which helps us keep the site running....