Big Money is Coming to Miami

Big Money is Coming to Miami

Jul 11, 2018 July 11, 2018

Miami is a magnet for money. Big money is moving to South Florida for a lot of reasons, including benefiting from the favorable tax situation, and an active real estate market, to the beautiful lifestyle, and being the protective haven that city has become for the international super rich. From individuals to investors, big New York and international money guys are setting up business and/or residence here.

The money is bringing a higher calibre of intellectual and enterprise-minded people. It’s a big change from a decade or two ago. We have different VC funds here, incubators, and more of a startup community, with places like The Hive, Miami Made, the CIC Miami and Venture Cafe, etc. The money is changing Miami.

Check out our latest market report for much more on the topic.

Real Estate

It probably all began with real estate. Land, and its inherent beauty, has been what drove Miami’s growth since the beginning. But now, developers from around the world are coming to Miami to build projects of unprecedented scale. As mere examples, both Genting and the developers of the Mall of America are trying to build massive properties, each the largest or one of the largest, of a particular category, in Miami. Then, of course, there’s the continuous stream of New York developers that always seem to be coming to Miami in increasing numbers, like the LeFrak family, who are partnering in SoLeMia, a sort of subtropical, luxury LeFrak City.

Genting Project
Genting's Resorts World Miami megaproject

Venture Capital and Private Equity

The old stereotype that development in Miami was funded by cocaine money is just that. Old and untrue. In addition to local investors and developers, in recent years lots of venture capital and private equity money has flooded in to Miami. People like Barry Sternlicht are coming, who is bringing with him the headquarters of his $55 billion real estate fund, Starwood Capital Group. There are also the two the founders of I Squared Capital, Sadek Wahba and Adil Rahmathulla, “the sunshine state’s latest conquests” Bloomberg calls them.

Why are they coming? Well, for the tax breaks, but they’re staying for everything else.

Tax Shelters and Safe Havens

Speaking of tax breaks, Miami is a haven to stash your cash for both Americans and the global rich. For Americans, Miami, and the rest of South Florida provides the desirable combination of favorable state taxes with a cosmopolitan atmosphere with close ties to New York City and other major urban centers, a desirable commodity for the New York wealthy choosing to relocate.

Miami is also a hub for the international super-affluent looking for a different kind of safe haven, that is a safe city with a reliable currency in which to park their cash. And a safe, secure place for their families to call home.

As the 2012 Knight Frank Wealth Report said “The problem in so many emerging world countries is governance. The newly enriched become aware of the potential impacts of corruption and arbitrary rule changes on their ability to plan for intergenerational wealth transfers. In extreme cases, as wealth steadily increases, so too do the perceived risks from falling out of political favour.” Miami is in a small club of cities attractive to the global elite, and the situation has changed little since then.

According to the Robb Report:

“Miami Beach, North Bay Road, and Palm Beach ranked high among house hunters—but island destinations such as Fisher Island and Bay Point also proved popular because of the associated privacy and security. Gated or secure waterfront homes were the most sought after, and buyers generally purchased a home that was just over 13,000 square feet. “Miami is a leading hub for overseas buyers investing in U.S. luxury real estate,” says Gary Hersham, managing director at Beauchamp Estates. “Miami is extremely popular with high-net-worth buyers from South America—Colombians, Brazilians and Argentinians—with other key overseas buyers being the British and investors from the Philippines.”

Fisher Island
Fisher Island aerial view, Miami

Contact Us
Sep Niakan
Broker / Team Lead
(305) 697-7667
sep@blackbookproperties.com
Request Info
By sending you agree to CondoBlackBook's Terms of Use

Your Miami Condo Awaits

Recent Posts

Save on Your Miami & Florida Property Taxes with This Video!
Real Estate News Save on Your Miami & Florida Property Taxes with This Video!
Did you know that property taxes can’t ever increase more than 10% for investors in Florida? Information nuggets like this can easily shave thousands of dollars off your property tax bill in South Florida! In our latest video, Sep Niakan, founder and lead broker of Blackbook Properties, talks to CPA and Miami tax expert, Christian Daulong about the simplest ways to save money on your real estate taxes in Miami, Florida. There’s a lot to take away from this, so permanent residents, second homeowners, and investors, take note!     As a Miami homeowner, we want what’s best for YOU! That's why we’re sharing our top Florida property tax tips (try saying that fast!) for primary homeowners, second homeowners, and even investors. With these recommendations, you’ll make the most out of your South Florida property, so you can fully immerse in Miami’s vibrant culture and beautiful beaches smartly and with financial peace of mind. Learn how to maximize your benefits from the Homestead...
Where to Find the Lowest Property Taxes in Miami
Opinions and Advice Where to Find the Lowest Property Taxes in Miami
Miami’s growth has skyrocketed over the years as more people choose to live here for its incredible weather and low taxes. But many people considering buying Miami real estate wonder what the property tax rates in Miami are. Moreover, most people don’t love talking about property taxes. When looking for a home, buyers focus more on living aspects, like the square footage, layout, amenities, outdoor space, or kitchen upgrades. Still, buyers must pay attention to property tax rates as part of their purchase and, once they become owners, as part of their budget. If you’re considering buying a condo or house in Miami or Miami Beach, this guide will help you compare property tax rates in the most popular neighborhoods around the cities, and show you where to find the lowest property taxes in Miami-Dade County in 2024.  — Know Your Miami and Miami Beach Property Tax Rates In Miami-Dade County, property tax notices are sent out each year on October 30th. Below are the updated property...
Pagani Residences Miami: Live in the Lap of Hypercar Luxury
Preconstruction Pagani Residences Miami: Live in the Lap of Hypercar Luxury
Miami, it’s time to get hyped about hypercar luxury residences with the groundbreaking fusion of the hyper-automotive industry and architecture through the creation of Pagani Residences. Nestled in the picturesque North Bay Village, this exclusive development marks the world's first collaboration between Italian hypercar icon Pagani Automobili and Miami-based real estate developer Riviera Horizons. And it continues the trend of luxury car branded-residences, which has brought Miami the likes of Aston Martin Residences in Downtown Miami, Bentley Residences in Sunny Isles Beach, and of course, Porsche Design Tower, where residents drive up to their condo homes with its patented Dezervator elevator system.For Pagani’s first venture into the real estate world, Miami’s iconic skyline and global appeal make the perfect backdrop, and in this blog, you’ll find out why Pagani Residences Miami promises a living experience that is engineered to live up to its hypercar luxury name. —...
March 2024: Fort Lauderdale and Palm Beach Pre-Construction Condo News Update
Preconstruction March 2024: Fort Lauderdale and Palm Beach Pre-Construction Condo News Update
As developers announced and launched exciting new projects, luxury condo development continued booming in South Florida. This month, partners Related Group and BH Group launched sales for West Palm Beach’s first Ritz-Carlton Residences condo development. The developer duo further launched sales for Icon Beach and won approval to build another condo-hotel in Hollywood Beach. Further, Ari Pearl swapped his plans to build a rental tower at The Club at Emerald Hills golf course with brand-new condos and villas. Read below to find details on these and more projects in our March 2024 pre-construction condo market round-up for Fort Lauderdale and Palm Beach: — March 2024 – Fort Lauderdale Condo Pre-Construction Market at a Glance Sales Launched Ritz-Carlton Residences – West Palm Beach Icon Beach Residences – Hollywood Beach Approved Diplomat Landing Hotel (Tower 2) – Hollywood Beach 1920 Pierce – Downtown Hollywood Planned/Proposed Sage Residences – Fort...
Complete List of Miami Condos with Tennis Courts
Lifestyle Complete List of Miami Condos with Tennis Courts
Tennis has been a favorite sport to enjoy throughout your life. But often it's hard to play at home – you've got to find a racquet club or local tennis complex. So if you're looking for Miami condo buildings that have tennis courts, since enjoying the sport and staying fit is a top priority, we get it. And the convenience of having a tennis court onsite is a big bonus. Since home is where the heart is, having a private tennis court right at your condo doorstep can be one of the biggest motivation factors whether you like to play for fun, fitness, or serious competition. So, for all tennis enthusiasts out there, here's a full list of Miami condos that give their residents exclusive access to tennis courts, whether hard, grass, or clay, as part of their range of amenities. — Miami Condo Buildings with Private Tennis Courts Building name Address Neighborhood City  Year Built Sq. Ft. Range # of courts 1000 Venetian Way 1000 Venetian...
Explore the Understated Elegance at Rivage Bal Harbour with Our Video Tour
Video Blog Explore the Understated Elegance at Rivage Bal Harbour with Our Video Tour
Join us for a tour of the gorgeous new sales gallery of the upcoming Rivage Residences in Miami’s Bal Harbour. Sep Niakan, founding broker of Blackbook Properties, interviews Rita Collins, sales executive at Rivage Bal Harbour, where they talk about all the hand-picked finishes, customizations, and one-of-a-kind luxuries that set this boutique project apart. It will be the next icon in oceanfront living!     — Setting New Standards of Luxury Living on the Beach Rivage welcomes you to a glamorous world of customizable finishes and thoughtful curations that make it a true villa. With only 56 sprawling residences (or less, as first buyers can combine units), this 25-story tower will deliver true boutique living on one of Miami’s most pristine beachfronts. Renowned interior designer Lauren Rottet provides a range of finishes, from wood to marble, or light to dark cabinetry, among other options, transforming each water-facing unit into a place you can instantly call home. Perfect for...