“It’s on fire:” Miami Mayor touts South Florida economy

by | Jul 7, 2022

 

  • Miami Mayor Francis Suarez boasted about Miami’s booming economy, with a growing tax base and an influx of companies moving to the city
  • Miami’s real estate market has been referred to as the hottest in the nation
  • Citadel, one of the country’s largest and most successful hedge funds, announced a relocation from Chicago to Miami, citing a business-friendly atmosphere

 

Miami Mayor Francis Suarez on Thursday made an appearance on Fox Business where he discussed Miami’s booming economy, referring to it as “on fire,” as the city posts repeated increases in real estate sales, an influx of new jobs, and the welcoming of tech businesses from states like California and North Carolina.

Miami in recent years has made its mark as a burgeoning tech city, being named one of the top cities in America for eCommerce business. The city has managed to carve out a niche in the cryptocurrency space, with the creation of a cryptocurrency specific to the area: MiamiCoin.

“It’s on fire,” said Suarez. “Our tax base grew by 12 percent year over year. We’ve transferred over $2 trillion in assets under-managed companies in the last two years. Our venture capital pipeline grew by 400 percent year over year. It’s amazing what following some basic principles will do for a city like keeping taxes low, keeping people safe, keeping homeless low. We are at a 2013-year low in homelessness where our tax rate is at a 1960s low and our homicide rate is at a 1950s low.”

South Florida has seen an influx of new residents from both domestic and international origins, as well as businesses moving headquarters seeking more favorable tax structures. The surge in people inhabiting the city has led to higher demand for real estate, driving prices higher while keeping the market red-hot. Miami-Dade County’s real estate market continues to skyrocket, as the Miami Association of Realtors in MArch registered the county’s third-highest month ever in terms of sales.

“If you keep people safe, you focus on quality of life, it’s an incredible difference from what people are seeing in other major cities across America. And we now live in a decentralized world where you don’t have to physically be somewhere to be able to be successful. And people like Ken Griffin are proving that.” continued Suarez. “When Citadel moved to Palm Beach initially during the pandemic, they prove that they could be a massive market maker and not have to be in New York or Chicago. And now he’s made the move. So we’re excited to have Ken Griffin and his family in Miami.”

Ken Griffin, Illinois’ richest person and founder of industry-leading investment firm Citadel, announced in June that he is relocating his company from Chicago to Miami, citing a more business-friendly atmosphere and a comparative reduction in crime.

In a memo sent to employees, Griffin noted that Florida harbors a better corporate environment due to its favorable tax structure and lack of an income tax. The move is expected to be a multi-year process and will necessitate the construction of a new office building in the downtown Miami neighborhood of Brickell.

In prior years, Griffin threatened to pull Citadel out of Illinois, referring to Chicago in 2013 as a city of “broken schools, bankrupt pensions, rising crime, a declining tax base, and public corruption.”

“Chicago will continue to be important to the future of Citadel, as many of our colleagues have deep ties to Illinois,” Griffin said in his memo to employees. “Over the past year, however, many of our Chicago teams have asked to relocate to Miami, New York, and our other offices around the world.”

Citadel is one of the most successful hedge-fund firms, overseeing $51 billion in assets and regularly outpacing competitors and the market, making a swift recovery following the 2008 recession.

3 Comments

  1. Tom

    Thank Gov Ron.

    Reply
  2. dolphincritic

    Okay! It’s on fire! Our problem is the cost of living! Our labor force cannot make enough to live here! Wages and benefits have not kept up with the cost of living here! Laborers need a minimum of $20.00 per hour just to make ends meet. This translates to higher consumer prices. We need those big businesses to recognize the problem and take immediate steps to supplement local worker wages. South Florida workers need a cost-of-living supplement in pay. There are tax deductible ways of doing this. Big corporations can solve their problems. Small business may have to find a collective answer. NO -not government. Small businesses must band together to form a labor pool and pay them a true living wage.

    Reply
  3. Anonymous

    Miami is big in tourism – and then we have local people living and working – this is a difficult equation to work as the housing prices -either for sale or for rent – are high due to large demand pushed largely by foreign investor coming loaded with cash – on the other end we have the local that need housing at fair prices – higher the salary could be a solution but will of course trigger to an increase of prices in goods and services – which of course will generate this spiral situation of higher and higher costs

    Reply

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