If you’re thinking of selling and curious about the value of your home in today’s evolving real estate market, contact Rebeca Castellon Group today. We would be happy to provide you with a no pressure home valuation and help you reach your real estate goals!
Tech & Private Equity Companies Are Flocking to MiamiApril 29, 2021
Miami is undergoing a transformation as many tech and private equity companies are relocating or expanding their offices to South Florida. According to Miami’s Mayor, Francis Suarez, “We’re seeing mass migration from two mega capital centers — the Bay Area and Silicon Valley and New York,” the mayor said. “They’re going to converge in Miami and that’s going to create more capital than we’ve ever seen.”
The injection of money from other states into Miami has created an incredible demand for real estate, and the market keeps reaching new highs. The average sold price of a single-family home in March 2021 was $1.05 million (up 83% year-over-year) and inventory levels reached at an all-time low of 1.7 months. (A balanced market is about 6 months of inventory.) Condo and Townhome market is also experiencing high demand. Average price sold increased to $627K (up 38% year-over-year) and inventory levels were reduced to 5.1 months. Click for more details
Below are some of the companies and investors moving to South Florida.
- Colony Capital:The Los Angeles-based investment firm (NYSE: CLNY) moved its corporate headquarters from Los Angeles to Boca Raton in early 2021.
- Elliott Management Corp: The $41 billion-asset hedge fund, led by billionaire Paul Singer, announced plans to relocate its corporate headquarters from New York City to West Palm Beach last October.
- Pipe Technologies:The alternative financing platform for startups moved its headquarters from Los Angeles in Miami in late 2020. The fintech recently raised $50 million from a collection of investors that included Slack, Salesforce founder Marc Benioff and Reddit co-founder Alexis Ohanian.
- ShiftPixy: The gig economy job platform (Nasdaq: PIXY) moved its headquarters from Irvine, California to Brickell Key last fall. ShiftPixy is developing a ghost kitchen incubator program in the Miami area.
- Blackstone: The New York-based private equity firm signed a lease for an office in downtown Miami in early 2021. Last October it announced it would expand its technology practice to South Florida.
- Boston Private:Last January the Boston investment management firm opened an office at the Four Season’s Hotel office tower, its second location in South Florida. It recently announced it plans to double the size of the Brickell office.
- Florida Funders: The state’s most active venture capital firm will expand to Miami and is actively searching for an office space.
- Founders Fund: Last month, the Silicon Valley venture capital firm signed a one-year lease for an office space in Brickell. PayPal co-founder Peter Thiel, former Google engineer Brian Singerman and Opendoor co-founder and startup investor Keith Rabois are among the firm’s partners.
- Novo:The New York-based digital banking platform opened an office in Miami’s Brickell neighborhood in March. It plans to double its local team in 2021.
- Palm Drive Capital:The New York-based investment firm, which primarily invests in Latin American startups, opened an office near Miami’s Midtown neighborhood.
- Point72 Asset Management:The Connecticut-based firm, led by New York Mets owner Steve Cohen, will open an office for about 45 employees at 360 Rosemary in West Palm Beach.
- SwagUp: The firm, which designs and manufactures custom swag for businesses, opened an office in Miami’s Little River neighborhood last year. The company’s distribution center is based in New Jersey. Clients can order custom items for new recruits and events on SwagUp’s website.
- Thoma Bravo: The private equity firm, headquartered in Chicago, will open an office in Miami in the second half of 2021. Thoma Bravo focuses on investments in the software and technology-enabled service sectors.
- Virtu Financial:The publicly traded fintech, headquartered in New York, announced it will open an office at DiVosta Towers in Palm Beach Gardens.
- Wealthspire Advisors: The New York-based investment advisory firm, with $13 billion in assets under management, will open an office in Boca Raton.
- Zumper: The San Francisco-based home rental platform plans to open an office in Miami this year that will employ up to 150 people. The company is considering office space in downtown Miami or Wynwood.
Founders and investors
- Keith Rabois, general partner at Founders Fund: The investor, a longtime executive at Silicon Valley technology firms and co-founder of Opendoor, purchased a $28.9 million home in Miami Beach last year.
- David Blumberg, founder of Blumberg Capital: The investor relocated to Hallandale Beach last December and said his early stage venture capital firm is open to funding local companies.
- Jonathan Oringer, founder and executive chairman at Shutterstock:The billionaire bought a $42 million home in Miami Beach last October. He stepped down as CEO of Shutterstock, a stock image and photo editing company, last April.
- Kim Perell, angel investor and CEO of 100.co: The investor and entrepreneur purchased a $11 million Miami Beach mansion last year. Perell said she relocated to Miami to launch artificial intelligence startup 100.co.
Connect with us:
Rebeca Castellon Group