Amidst the growing housing crisis in California, Apple has announced that they will be spending $2.5bn to help overcome the issue caused by the rapid development among the tech companies situated in the area.
Apple has made an elaborate 5 point plan for their investment. They have explained that $1 billion will go towards affordable housing funds, another $1 billion towards mortgage assistance for people who are buying a house for the first time, $200 millions for San Francisco housing plans for supporting the vulnerable set of population and the rest $300 million worth of lands owned by apple will be opened for development.
Around 7000 people are wandering due to homelessness in San Francisco. Low pay workers like teachers, restaurant staffs are moving out due to the rising real estate prices. Many are blaming Tech giants in the area and their high paid employees for this issue.
In a press release, apple CEO Tim Cook said that the meaning of affordable housing is stability, pride and dignity. He added that when a lot of people are not able to afford it, the course that is being followed is then proven out to be unsustainable and Apple wishes to contribute its part towards its solution.
The company added that the money isn’t going to be spent all at once; rather they will be doing it over the course of 2 years depending on project available in the area. They also clarified that any money made out of this project is going to be invested again into similar future projects.
This help fund was created in partnership with Gavin Newsom, Governor of California who said that he wishes other companies to follow Apple’s lead. Apart from Apple, Google has also contributed $1 billion into redeveloping some of the company’s owned land for making affordable houses. Facebook has also invested $500 million for the cause.