Apple Reportedly Looking to Expand Offices into San Jose

Citing real estate sources, the Silicon Valley Business Journal reports (via MacRumors) that Apple is eyeing up major expansion in north San Jose. The company is reportedly considering two major projects: Ellis Partners’ 300,000-square-foot 101 Tech on Orchard Parkway and Hunter/Storm’s Coleman Highline development site near the Mineta San Jose International Airport.

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Fact is, Apple has leased almost all of the available space in its hometown, Cupertino, so it has started expanding into Santa Clara and Sunnyvale but not San Jose, despite the fact that 25% of its workers from elsewhere come from this one city. About 14% live in San Francisco, 8% in Cupertino, 8% in Sunnyvale and 6% in Santa Clara, according to an Apple-funded economic impact report released in 2013.

Hot on the heels of the Apple expansion rumours, real estate observers started predicting the possible effects: It would create a “halo” effect, according to the site selection consultant, bringing in other companies. Another real estate observer says Apple’s arrival in North San Jose could ignite more development in the area.

If Apple does do some kind of expansion into North San Jose, it may have more to do with simple availability than anything else given the lack of building sites closer to Apple’s home. That’s not necessarily a bad thing, but simply the path of progress. And San Jose could finally be in the middle of it.
“To some extent, San Jose represents an opportunity for the companies to find space that they can’t find elsewhere in the Valley right now,” Krutko said.

Site selection expert John H. Boyd strongly believes it would change the image of San Jose, and that people would look differently on the town if this happened.

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