What Could Apple Buy With Its Profits In Property?

Today’s City AM posed the question of what Apple, shining from its phenomenal earnings report, may do with the $51 billion in profits. At current exchange rates this would come to £31.74 billion. Much can be made of what companies (or countries) that would buy, but what would it yield in property.

  • The average price of a property in the Royal Borough of Kensington and Chelsea is £857,662. That means if Apple were to buy an average portfolio of properties in the Royal Borough, it would hold 37,000 homes, which is roughly 46% of the entire Royal Borough.
  • If Apple chose to invest in Westminster instead it would be able to pick up 56% of homes.
  • If Apple chose to invest in only luxury property, restricting the values to an average of £1763 per sq ft then it would be able to purchase 18 million square feet of prime luxury property, which is roughly 413 acres of residence.
  • For a more balanced mix, Apple could purchase every home in the borough of Hammersmith and Fulham which is not currently owned by the local council.
  • Apple would be able to buy the £150m penthouse at One Hyde Park 211 times and still have £90m left over to spend of service charges.
  • Currently, there is roughly £14 billion marketed on the Prime London property database LonRes. If Apple so wished, it could purchase every property on the site 2.25 times.
  • With the construction costs of the Shard running roughly £435m, the Cheesegrater at £340m and the Walkie Talkie at £500m, Apple could build all three development 25 times, creating 75 skyscrapers, more than currently exist in the city.