In November 2012, several reports popped up indicating that the 2.8-million square feet spaceship-like campus of Apple that is currently under construction would not be completed by 2015, as numerous delays had extended the work and the massive building was expected to be finished not before the mid of 2016. Now Bloomberg Businessweek has claimed that the cost of the project has surpassed the estimated budget therefore it is highly likely that it may see some more delay. According to Bloomberg Businessweek the reason behind the possible delay are the grandiose plans of Apple that have raised the cost of the project to nearly double ($5 billion): “Since 2011, the budget for Apple’s Campus 2 has ballooned from less than $3 billion to nearly $5 billion, according to five people close to the project who were not authorized to speak on the record. If their consensus estimate is accurate, Apple’s expansion would eclipse the $3.9 billion being spent on the new World Trade Center complex in New York, and the new office space would run more than $1,500 per square foot—three times the cost of many top-of-the-line downtown corporate towers.”
If Bloomberg Businessweek’s claim turns out to be true then, Apple have to change their plans of shifting 12,000 staff members to the new campus once again, as the original time period set for the completion of Cupertino-based company’s new headquarter was 2015. In addition to this, so far Apple has not broken ground on its new campus site, but according to Bloomberg its sources have revealed that Apple is looking to demolish 26 buildings which exist on the land at this point in time. The report also mentioned that the attempt to cut the $1 billion cost from the budget is the main reason behind the delays and it is taking extra time. Besides this, Apple has not completed contracts with their contractors:
“One reason for the new timetable, say three people who have spoken to Apple personnel about the project, is that the company has been working with lead architect Foster + Partners to cut $1 billion from the budget before proceeding. Jobs and Apple first hired Norman Foster’s firm, renowned for the rebuilt Reichstag in Berlin and Hearst Tower in New York, in 2010. Apple has named a general contractor—a joint venture of DPR Construction, in Redwood City, Calif., and prefabrication specialists Skanska USA Building in New York—but has not finalized agreements with the scores of subcontractors needed to complete the job. Some contractors will be submitting bids by May. There’s so much dirt to be removed, excavating the site will take six months and require a continuous, 24-hour convoy of trucks, says a former Apple manager who heard a presentation from Foster’s firm.”
The report also indicated that it would not be easy for Apple to reach a deal with the contractors because currently it is currently “offering a cost-plus contract that pays only half the percentage of profit of some large deals.” Mentioning about some interesting things in Apple’s 2nd campus Bloomberg reported that, “A peek through the fence reveals what appears to be a life-size mock-up of the entrance to the future headquarters, complete with floor-to-ceiling glass and a huge banner hanging from the ceiling with a photo of an iPhone, like the ones that hang in the lobby of Infinite Loop. It’s clean, minimalist, and stunning—a four-story iPad.”
Aside from this, Bloomberg has also mentioned in its report how the California-based tech giant will build its spaceship-like campus:
“Arriving by truck will be thousands of prefabricated 26-foot-long modules in various configurations—bathrooms, utility closets, and banks of offices complete with carpets and window treatments, say three of those who spoke with Bloomberg Businessweekabout the project. Because the work is done in factories designed specifically for the purpose, the approach can yield far more precise construction and fewer hours of on-site labor—and potential savings on local union rates. It’s also faster. Apple hopes to complete construction in two years vs. the three to five it could take using conventional methods….
Contractors would typically erect molds with crude scaffolds to pour the cement in place, but that leaves unsightly ruts where the scaffolding puts extra pressure on the surfaces. According to two people who’ve seen the plans, Apple will instead cast the ceilings in molds on the floor and lift them into place, a far more expensive approach that left one person involved in the project speechless.”
Source: 9to5Mac
Photo: 9to5Mac
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