$12B Private Equity Fund Relocating From New York To Miami

I Squared Capital, a $12 billion private equity fund currently based in New York, is opening an office in Miami later this year, according to Bloomberg.

The two founders of the firm will also move their personal residences to Miami.

Another firm is also in late-stage negotiations to relocate, an employee of Miami’s Downtown Development Authority said.

Miami’s push to court financial firms from high-tax states appears to now be gaining traction, Bloomberg wrote. The effort has been invigorated by new laws that limit deductions of state taxes, making those states much more expensive compared to Florida.

Starwood Capital has also said they will relocate their headquarters from Connecticut to Florida by 2021.

From 2015 to 2016, 14,600 Connecticut residents relocated to Florida from 2015 to 2016, the most since at least 1999. During the 12 months ending in April 2018, Florida gained 14,700 jobs in financial activities while Connecticut lost 500.