Apple checks in with 192-room hotel for billion-dollar Austin campus

Tech giant Apple Inc. has added a new facility to its $ 1 billion corporate campus under construction in northwest Austin – a 192-room hotel.

A revised site map, approved by the City of Austin on April 29, shows a 75,500-square-foot, six-story hotel as well as previously planned office buildings and parking garages. The revised plan does not name a hotel brand. The original site plan for the project, submitted in December 2018, did not include a hotel.

“Apple is a trendsetter in many ways. The proposed hotel as part of the new Austin campus is yet another example of being ahead of the curve, ”said John Boyd Jr., director of Princeton, New Jersey-based corporate location consultancy The Boyd Co. Inc. CultureMap.

Adds Boyd, “A hotel tied to its corporate parent on the hip is not common these days, but in the post-COVID-19 business travel world we are likely to see more of that concept, especially from deep-pocket tech companies.” like Apple, Google, Facebook and Microsoft. “

In total, Apple’s second Austin campus will contain structures totaling 3 million square feet, with approximately 2 million square feet dedicated to office space. In comparison, the Pentagon in Arlington, Virginia – headquarters of the US Department of Defense – has 6.6 million square feet of floor space, making it one of the largest office buildings in the world.

Apple laid the foundation stone on the $ 1 billion campus in November. The project, which is scheduled to open in 2022, will initially accommodate 5,000 employees and eventually 15,000 employees. The campus will be built on 150 acres on West Parmer Lane and McNeil Road. The updated site map shows that the hotel is the closest structure to West Parmer Lane.

Apple currently resides on a nearby office campus on West Parmer Lane and Riata Vista Circle, where most of its 7,000 Austin employees work. The 1.1 million square meter campus, which was completed in 2016, has seven office buildings on 38 hectares. The website is Apple’s largest hub outside of its $ 5 billion headquarters in Cupertino, California. Apple is poised to become Austin’s largest private employer in the not too distant future.

While it may be unusual for a hotel to be built on a corporate campus, the concept is not unusual. In Fort Worth, for example, American Airlines is adding a 600-room hotel, conference and training center to its headquarters. The $ 250 million project is slated to open in 2021.

Closer to Austin, Paul Vaughn, senior vice president of San Antonio-based hotel consulting firm Source Strategies Inc., finds that a Candlewood Suites hotel operates in Joint Base San Antonio, an Air Force and Army complex, and is an Embassy Suites Hotel is located on Brooks City Base in San Antonio, a former air force base that has been converted into a mixed-use settlement. Many of the guests at the two hotels do business with the US military.

There is also a Hampton Inn located on Dell Way, the street that leads to the Round Rock headquarters of Dell Technologies Inc.

Vaughn plans to build a long-stay hotel on the new Apple campus. He names an Embassy Suites hotel as one option.

Boyd believes building a hotel on the new Austin campus will give Apple “better control over its business travel and COVID-empty business travelers a better sense of security and protection.”

Apple representatives could not be reached for comment.

It makes sense that Apple would want its offices to be near hotels, as these locations regularly attract employees and customers from around the world. Apple is located in a 21,000-square-foot office building in West Austin adjoining the high-end Granduca Austin hotel, while a 340-room hotel for proposed mixed-use development is located within two miles of Apple’s present and future intended campus in northwest Austin.

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