More and more wealthy financiers are turning their backs on the city and trying to sell their properties. Instead, she’s drawn to Florida.
Shift to South Florida
The hedge fund Elliott Management announced last year that it wanted to relocate its headquarters from New York City to Florida. A development like this has already been announced in recent years, because the Sunshine State has gradually been prepared for a postponement through the introduction of a more favorable tax policy. The time has come, and amid the corona pandemic, massive amounts of Wall Street wealth are shifting from New York to South Florida. As Mansion Global reports, David S. Goodboy also confirms this development. The founder of the Palm Beach Hedge Fund Association, a network organization for financial professionals in South Florida, explains that the number of paying members almost tripled in the past year.
Financiers are turning their backs on New York
While more and more professionals are predicting a real estate crisis for New York, some wealthy financiers now seem to fear this development as well. Many of them are now trying to sell their homes in the metropolis and instead find new places to invest. So it happens that one might get the impression that Wall Street is currently moving to Florida while hedge funds are pouring into Manhattan. “If you think of New York City as ballet, the city is on hiatus right now,” Warburg Realty real estate agent Jason Haber told Mansion Global. “During the break, some people get restless and don’t come back to the next act. That’s exactly what is happening now. “
Pandemic triggers change
In the past, many Wall Street executives rejected Florida as a location and preferred New York to the state. According to Mansion Global, the reason for this seems to be concerns about the schools there, the culture and poor networking opportunities. But the pandemic, economic crises, homework and insecurity seem to have thrown those worries overboard as financial workers are now drawn to Florida because of the warm weather, low taxes and affordable real estate. As Mansion Global reports, Wall Street executives, bankers and fund managers are increasingly leaving New York and moving to Florida instead. Many cite the effects of the pandemic as the reason, as the many benefits of working in a global financial center have been lost in recent months due to increased home offices.
Sun, fast flights and cheap real estate
Many employees in the financial sector have been working from home since March last year. As a result, Florida has increased its status as a location due to the favorable climate, affordable real estate prices and fast flights to New York if necessary. Companies such as Elliott Management, Citadel and Moelis, as well as other large financial companies, have already packed their bags and started their journey to South Florida. Many open another company headquarters in the sunny state and distribute their employees to both locations. For many New Yorkers, Florida seems culturally and physically closer than other states. The US state is in the same time zone and has more Big Apple emigrants than, say, Salt Lake City or Nashville.
Florida offers many advantages
Florida Governor Ron DeSantis has given the state’s economy priority over rigorous protection from the coronavirus. While there are capacity restrictions in restaurants in most US states, Florida allowed indoor dining in September. In addition, Florida is one of 13 states without a mask requirement. The comparatively loose corona policy is now making the state more and more attractive for many as a place to live and work. Still, some Manhattan-based luxury agents are certain that the shift should be viewed as temporary. As Mansion Global reports, they are convinced that younger people in particular will return to the metropolis as soon as the pandemic is under control, and the experts also note that New York inevitably moves some of its older, affluent residents to Florida every year loses.
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