Apple buys tracts at site of proposed operations center

 In new signs that Apple Inc. is moving ahead with a proposed Austin operations center, the technology giant has closed on the purchase of three tracts of land at the site, and a general contractor is reaching out to minority subcontractors for a chance to work on the project.

Apple Inc. hasn't confirmed that it's bringing its proposed new operations center to Austin, but city and Travis County officials say all signs indicate it's a go.

Apple — which is in line to receive millions in incentives for the project — is proposing to create 3,635 new jobs in Austin over the next decade and invest hundreds of millions of dollars as part of its plan to create a major operations center here. The facility would run most of its business operations for North and South America.

An Apple spokeswoman did not respond to an email Wednesday.
Apple's incentive agreement with the City of Austin calls for the company to spend $282.5 million in two phases on its campus, which would be on a 38.8-acre campus at West Parmer Lane and Delcour Drive in Northwest Austin. The site is adjacent to Apple's current campus at Riata Crossing. Apple currently occupies about 550,000 square feet in Riata Crossing and nearby Parmer Business Park.

In late June, Apple closed on the purchase of three tracts at the proposed site, county property records show. The sellers were Chicago-based McShane Development Co. and MetLife Real Estate Investments, through their Riata Vista limited partnership. Joe Llamas, vice president of McShane's South Central region based in Austin, said the company had no comment.

Apple's expansion would include a pair of four-story office buildings, each with 140,816 square feet, according to a notice the city is sending out to local minority subcontractors to outline opportunities to participate in the project. Cadence McShane Construction, a McShane Development affiliate that will be the general contractor on the project, and the city's Small and Minority Business Resources Department will host a meeting next week for minority subcontractors.

A notice for the meeting says the site work will include "concrete paving for surface parking, a detention point with retaining walls and landscaping." Cadence McShane will solicit proposals in August for the site work and the building shell.

City, county and state officials have signed off on about $35 million in incentives to try to persuade Apple to locate its operations center here. The city's agreement says Apple must make "reasonable" efforts to give local certified minority-owned and women-owned businesses an opportunity to supply materials and services for the operations center.

The agreement also specifies that Apple retain 3,100 existing full-time jobs. And it sets forth minimum average annual salary requirements for the new jobs for each of the 10 years, with an average compensation of at least $54,000 at the end of the first year; at least $63,000 at the end of the fifth year; and a minimum of $73,500 at the end of the 10th year. Apple has said most of the jobs would be local hires.
This article comes from:http://www.statesman.com/business/real-estate/apple-buys-tracts-at-site-of-proposed-operations-2418742.html