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.

milpitas facility rendering

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

KGB7 Avatar
51 months ago
It’s an Emoji R&D Headquarters.
Score: 20 Votes (Like | Disagree)
sinsin07 Avatar
51 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)
samcow Avatar
51 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)
neuropsychguy Avatar
51 months ago
They have to make all those Apple Watch bands somewhere.
Score: 9 Votes (Like | Disagree)
rightontron Avatar
51 months ago
Then why would I buy this? There are much cheaper options trust me! I don’t care about paying for quality.


Attachment Image
Score: 8 Votes (Like | Disagree)
Kabeyun Avatar
51 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)

Popular Stories

iOS 16

Apple Releases iOS 16.0.2 With Bug Fixes for iPhone 14 Pro Camera Vibration, Copy/Paste Issue and More

Thursday September 22, 2022 1:04 pm PDT by
Apple today released iOS 16.0.2, addressing a number of bugs that iPhone 14 owners have been experiencing since the new devices launched. iOS 16.0.2 comes two weeks after the launch of iOS 16, and it follows iOS 16.0.1, an update made available to iPhone 14 owners on launch day. The update is available for all iPhones that are capable of running iOS 16. The iOS 16.0.2 update can be...
maxresdefault

Video Review: Four Days With the iPhone 14 Pro Max

Wednesday September 21, 2022 7:49 am PDT by
Apple on Friday released the new iPhone 14 models, and MacRumors videographer Dan picked one up on launch day. He's been using the iPhone 14 Pro Max non-stop since it came out, and over on the MacRumors YouTube channel, has shared his initial thoughts on the day-to-day experience with the latest iPhone. Subscribe to the MacRumors YouTube channel for more videos. Dan's mini review highlights...
iPad Pro Big Ol Logo

Five Features Rumored for the New iPad Pro Expected Next Month

Wednesday September 21, 2022 1:36 am PDT by
Rumors suggest Apple will announce new 11-inch and 12.9-inch iPad Pro models as soon as next month. The new iPads will be the first update to the iPad Pro series since April 2021 and will be an overall incremental upgrade that brings new capabilities and functionality to the highest-end iPad. According to reports, Apple is planning an event for October to announce the new iPad Pro models, a...
ios 16 lock screen feature

Some iOS 16 Users Complain About Slow Spotlight Search and Battery Drain

Wednesday September 21, 2022 4:25 am PDT by
It's been nine days since Apple released iOS 16 to the public, bringing major changes to the Lock Screen, Messages, Maps, and more. In the days following the release, some users have encountered several issues on their iPhones, ranging from slow system performance to battery drain. In the past few days, iPhone 14 Pro users have shared specific bugs related to Apple's latest high-end iPhones, ...
Dynamic Island For Android Users Feature

Android App Copying iPhone 14 Pro's Dynamic Island Released on Play Store

Thursday September 22, 2022 7:57 am PDT by
A copycat version of the iPhone 14 Pro's Dynamic Island has arrived on Android's Google Play Store in the form of an app called "dynamicSpot." The app, still in beta, offers customers several different experiences at the top of their smartphones. In its current form, dynamicSpot offers playback control for songs, timers, battery status, and more features coming soon, according to the app's...
facebook meta

Meta Sued Over Tracking iPhone Users Despite Apple's Privacy Features

Thursday September 22, 2022 5:12 am PDT by
Meta is facing a new proposed class action lawsuit that accuses it of tracking and collecting the personal data of iPhone users, despite features and policies made by Apple which are meant to stop that same type of tracking. In August, it was revealed that with the Facebook and Instagram apps, Meta can track all of a user's key taps, keyboard inputs, and more, when using the in-app browser....
apple watch ultra reddit 1

Lucky Customer Gets New Apple Watch Ultra Two Days Early

Wednesday September 21, 2022 2:03 pm PDT by
With millions of devices shipping out to customers with every Apple launch, there's occasionally someone who gets lucky and gets a new product ahead of schedule. This time around, Redditor playalisticadillac received an Apple Watch Ultra from AT&T two days before the official debut, sharing some images on the social media site. The images include an unboxing and comparisons to the...
new airpods pro ear tips

Apple Explains Why Second-Generation AirPods Pro Ear Tips Are Incompatible With Original AirPods Pro

Thursday September 22, 2022 3:12 pm PDT by
Apple today explained why the new silicone ear tips for the second-generation AirPods Pro are not officially compatible with the original AirPods Pro. In an updated support document, Apple said the original AirPods Pro ear tips have "noticeably denser mesh" than the second-generation ear tips. Apple did not provide any additional details, but the mesh density could result in acoustical...