Apollo Looking South For Second HQ

Marc Rowan’s Apollo Global Management is following other financial firms in setting its sights south for a second headquarters.

The private capital firm is eyeing business-friendly states such as Florida and Texas, people familiar with the matter told the Financial Times.

Outside of South Florida and Austin, the firm is also weighing Nashville, Tennessee. There’s no timeline for the decision, nor is there any known discussion about relocating employees from Manhattan.

“This decision is driven by the talent we want to hire and the firm we want to be,” Apollo said in a statement. “New York does not have a monopoly on talent, and we expect most of our future growth will take place in our second HQ.”

Apollo has asked partners and managing directors about their preferences for the second HQ location.

In the wake of the pandemic, Apollo established a regional presence in Miami and Palm Beach, as well as an expansion into Greenwich, Connecticut. The company manages more than $900 billion in assets and counts more than 4,000 employees following the acquisition of life insurance firm Athene.

The firm’s move would follow Citadel and Elliott Management, which have opened significant office presences in Florida, while Goldman Sachs and JPMorgan Chase have done the same in the Lone Star State.

While Apollo has an office in Bryant Park, its main space is at the Soloviev Group’s 9 West 57th Street. In 2018, the asset manager increased its footprint at the building to 175,000 square feet from 135,000 square feet, while also subleasing 70,000 square feet from MetLife at 3 Bryant Park.

In addition to being a large and powerful company, Apollo’s importance to real estate is second-to-none, especially as a lender. Last year, it completed an acquisition of Bridge Investment Group, roughly doubling Apollo’s real estate assets under management.

— Holden Walter-Warner