- Barry Sternlicht said more companies would move to Miami if there were more private schools.
- Miami attracts companies like Citadel because of its business-friendly environment and tax advantages.
- However, due to the rapid population growth in recent years, the city is facing a shortage of private schools.
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Barry Sternlicht, a billionaire real estate fund manager who emigrated from Miami, said one problem is Miami’s ability to attract more capital and talent.
The city doesn’t have enough private schools, he said in one paper. interview on thursday with Bloomberg TV.
“There are a lot of companies that would leave if they could send their employees’ children to school, but that’s not possible,” said Sternlicht, CEO of Starwood Capital Group.
Sternlicht announced In 2018, he announced he would move Starwood from Connecticut to Miami, a move the company made during the pandemic. The company manages $115 billion in assets and has 5,000 employees worldwide, according to its website.
Sternlicht said in an interview that he was hoping for better weather and lower taxes, but was pleasantly surprised by how welcoming Florida has been to business.
Mr. Sternlicht is one of several real estate moguls and billionaires who have moved their companies from the Northeast to Miami in recent years.
In 2022, Ken Griffin, the founder of Citadel and Citadel Securities, moved the companies’ headquarters from Chicago to Miami after becoming dissatisfied with Illinois’ taxes and politics.Late last year, former Amazon CEO Jeff Bezos announced his relocation. Moving from Seattle to Miami could save you $600 million in taxes.
Florida is one of nine states in the United States that does not impose a state income tax, and high-income earners who move to Florida are often referred to as “tax refugees.”
The lack of private schools in the area is due to the recent population boom in Miami and throughout the state.
florida population 1.9% increase From 2021 In 2022, it will add 417,000 net new residents, more than any other state in the country. In Miami the number of millionaires has increased by 78% in the past 10 years, reaching 35,300 people. report Immigration consultancy Henry & Partners made the announcement on Tuesday.
Part of the surge is due to employee turnover at Goldman Sachs, Blackstone, D1 Capital Partners and other firms. High-income employees want to send their children to elite schools of comparable quality to schools in the New York area, previously reported by BI.
Due to the small number of elite schools and developers in the city, newcomers to the city face long waiting lists to get into elite schools. cancel plans To build something new.
Despite the school’s challenges, Sternlicht said Miami’s growth story is not over.
“I don’t think Miami has peaked. I think there’s a cycle in Miami and Florida because of overbuilding, but that cycle is getting higher,” he told Bloomberg. “All you need is stamina to keep it going.”