“South Florida by the numbers” is a web feature that catalogs the most notable, quirky and surprising real estate statistics.
Attribute it to Covid-19, taxes, costs of living, weather, the rise of remote working, or some combination of the above factors — whatever the cause, New Yorkers are relocating to Miami at eye-popping levels. While this trend has been building in recent years, the past few months have seen a spiked flow of Gothamites trading stilettos for sandals, and in most cases, cramped apartments for roomy single-family homes. Is this a real exodus with “legs,” or a momentary craze that will settle down once things return to normal? We explore it in this edition of “South Florida by the numbers.”
40 percent: Decline in New York City office values predicted by Barry Sternlicht, Starwood Capital’s CEO, who moved his company from Greenwich, Connecticut to Miami Beach in 2018 due to a more favorable tax climate. Sternlicht anticipates that a loss of populace and capital would increase New York City expenses accordingly, driving office rents down by 25 percent. [TheRealDeal]
10,346: Square footage of a $22 million Gables Estates mansion recently purchased by Lee Scott Millstein, a private equity investor and Sylvie Millstein, a fashion designer, who are relocating from New York with this purchase. The nine-bedroom home features 255 feet of water frontage with a 160-foot dock, a master suite that overlooks the water, a home theater, game room with a wet bar and wine cellar, pool, rooftop deck and outdoor entertainment area. [TheRealDeal]
25 percent: Increase in out-of-towners looking to rent in Miami in 2020 compared to last year, according to Master Broker Christopher Zoller. “They are showing up in droves…fleeing high density, high-rise locations. They are learning to work from home or they can work from common spaces,” Zoller said. [MiamiHerald]
12: Number of months the general partner of a New York-based venture capital firm has agreed to lease a Miami Beach home, which is typical of other entrepreneurs who are taking “a taste” of South Florida before deciding whether or not to stay permanently. These investors are seeking more space, a lower cost of living, and warmer weather for their families during this time, but are not ready to completely divest themselves from New York for the long term. [SFBJ]
270: Estimated number of people leaving the New York metro area each day, with most of them choosing Florida. And it’s not just the wealthy residents fleeing increased taxes. Lower to middle class income earners are also leaving New York, and the costly Northeast in general. [Forbes]
This column is produced by the Master Brokers Forum, a network of South Florida’s elite real estate professionals where membership is by invitation only and based on outstanding production, as well as ethical and professional behavior.