The comapny said that its investment will create over 550 construction and operations jobs in the Des Moines area.
The 400,000-square-foot building in Waukee will run entirely on renewable energy. Apple will be working with local partners to invest in renewable energy projects from wind and other sources to power the data centre.
Apple is also contributing up to US$100m to a newly created public improvement fund dedicated to community development and infrastructure around Waukee.
“Our new data centre in Iowa will help serve millions of people across North America who use Siri, iMessage, Apple Music and other Apple services - all powered by renewable energy,” said Tim Cook, Apple’s CEO.
The new public improvement fund, to be established and managed by the city of Waukee, will support the development of community projects such as parks, libraries and recreational spaces, as well as infrastructure needs. The first project the fund will support is construction of the Waukee Youth Sports Campus featuring a greenhouse, playground, fishing pier and fields for high school and public sporting events.
Apple has pledged to power all of its global operations with 100 percent renewable energy, and has already reached that goal in the US and 23 other countries.
Construction on the data centre is expected to start early next year and Apple plans to bring it online in 2020.