How Much Is Apple's Headquarters Building Worth?

Ok, so maybe location isn't everything. JL

Roland Li reports in the San Francisco Chronicle:

The tech giant’s headquarters in Cupertino was assessed at $3.6 billion by Santa Clara County for property tax purposes. The valuation doesn’t perfectly coincide with its market value. but is based off a detailed appraisal of the building. If you include computers, furniture and farm equipment to take care of the property’s trees, the figure rises to $4.17 billion for the fiscal year ended in June. Singapore’s Marina Bay Sands topped $5 billion. Saudi Arabia’s holy city of Mecca is home to the $15 billion Abraj Al Bait Towers and $100 billion Great Mosque of Mecca. Salesforce Tower, San Francisco’s tallest building, was valued at $1.7 billion

Apple Park is one of the world’s most valuable buildings — and now we know exactly how much it’s worth.

New figures released this week show the tech giant’s circular headquarters in Cupertino was assessed at $3.6 billion by Santa Clara County for property tax purposes. The valuation doesn’t perfectly coincide with its market value — how much it would sell for — but is based off a detailed appraisal of the building, which opened in 2017.

If you include computers, furniture and even farm equipment to take care of the property’s trees, the figure rises to $4.17 billion for the fiscal year that ended in June, the assessor’s office said.

Beyond its giant 2.8 million-square-foot size, Apple Park’s high-end materials, abundant glass and intricate design make it a standout in Silicon Valley, home to some of the world’s most valuable real estate.

“Every component in that building was custom,” said David Ginsborg, Santa Clara County deputy assessor.

Apple Park is among the world’s dozen most expensive buildings, despite its relatively modest four-story height.

America’s tallest spire, the 1,776-foot One World Trade Center in New York, cost $3.9 billion to build, according to the Port Authority of New York and New Jersey, which owns the building, and is 3.5 million square feet. Singapore’s Marina Bay Sands resort reportedly topped $5 billion in costs, while Finland’s Olkiluoto 3 nuclear reactor exceeded $6 billion.

Saudi Arabia’s holy city of Mecca is home to two of the valuable buildings: the $15 billion Abraj Al Bait Towers and $100 billion Great Mosque of Mecca.

Apple Park was assessed at more than twice the amount of Salesforce Tower, San Francisco’s tallest building, which was valued at $1.7 billion by San Francisco. Salesforce Tower has about half as much office space as Apple Park, despite being 57 stories taller.

With property taxes around 1%, Apple would owe around $40 million annually.

The building is a manageable expense for Apple’s profit machine. In its most recent quarter, Apple reported $58 billion in revenue and $11.5 billion in net income.

Apple could also appeal the valuation and seek a lower bill, which it has previously done for other buildings. Apple didn’t respond to a request for comment.

Apple was Santa Clara County’s largest property taxpayer for the 2017-18 fiscal year, with $56 million in taxes, Ginsborg said. PG&E and Google were the next highest. More recent figures weren’t immediately available.

The biggest sale of property in New York City, long the center of high-priced American real estate, was $2.8 billion for the GM Building at 767 Fifth Ave. in 2007. Coincidentally, that tower is connected to an Apple store with a famous glass cube, though it’s been closed for renovations.

Apple Park versus Salesforce Tower

Apple Park 1 Apple Park Way, Cupertino		Salesforce Tower 415 Mission St., San Francisco
$3.6 billion, plus $620 million in equipment	Assessed value	$1.7 billion
Apple	Owner	Boston Properties
Apple	Tenants	Salesforce, WeWork, Accenture
2.8 million	Square feet	1.4 million
175 acres	Land size	1.2 acres
4	Floors	61
More than 12,000	Number of workers	More than 8,000
Norman Foster	Architect	Pelli Clarke Pelli
30 acres of open space, almost 11,000 parking spaces	Amenities	Direct access to Salesforce Park

Source: Chronicle research

Read More

New York’s second-biggest deal came last year and also has a tech company connection: Google paid $2.5 billion for Chelsea Market, a shopping and office center on Manhattan’s West Side.

Apple Park is less than half the size of the massive Pentagon, the headquarters of the U.S. military in Arlington, Va., which sprawls across 6.5 million square feet.

But unlike Apple, the Department of Defense doesn’t pay taxes.