Tech and Financial Firms Consider Wynwood as Miami Raises Tech Hub Status
Miami’s Wynwood Art District is known for its street art and as a hub for creatives, but with more tech and financial companies finding offices there, recent transactions have positioned the neighborhood as the point central to the city’s growing status as a technological hub.
That’s according to DWNTWN Realty Advisors senior directors Tony Arellano and Devlin Marinoff, who have more than $ 100 million in transactions pending at Wynwood. DWNTWN Realty Advisors is a commercial real estate brokerage company in Miami. The company claims to have been involved in more than $ 350 million in development investment and sales at Wynwood in recent years.
Wynwood is “without question the hottest submarket in the country,” Marinoff said.
Due to a changing population and businesses keen to attract a better talent pool, Wynwood has emerged as the next hot submarket amid the pandemic, Marinoff said. For tech and financial companies, Wynwood’s ability to walk in relation to other neighborhoods and culture is what draws them to the area.
âIt has the newest, most creative office product that some of these companies are looking to attract, and a certain type of worker appreciates it. Your neighborhood cafe, your bustling restaurant scene, the happy hour scene – it kind of hits all cylinders when it comes to ambiance and amenities, âArellano said.
Big companies like Live Nation, Spotify and Atomic now have offices in Wynwood. Arellano said that when Founders Fund, a venture capital firm led by PayPal founder Peter Thiel, moved its offices to Wynwood, others began to follow suit.
âIt sends an important message to the tech community. Wynwood, and Miami in general, are now described as the âcapital of the capitalâ and once Founders Fund signed on, it was as if the market decided where it wanted to locate. It was the most important thing: to sell a market that had no fundamentals for companies at that level, at that time. Now that it’s been accepted we’ve now passed the test, and it’s kind of built into our fabric, âsaid Arellano.
While they can’t yet announce upcoming companies, Arellano and Marinoff have said that in six to eight months, Wynwood will be a game-changer.
âThe pandemic has sped up people’s thinking about where they want to live and companies have realized that they don’t have to be in financial places to run a business at a very high level. By giving their employees a better city to live in, they could get better talent and maybe even lower their occupancy costs, âsaid Arellano.
Many tech and financial companies come from the Northeast and California. The number of non-market businesses is increasing by around 10%, Arellano said, but the majority of businesses coming to Wynwood are local businesses that have decided to relocate. Arellano believes the neighborhood will experience long-term growth as a result.
âWynwood is always a neighborhood of little magnets – where a project is developed and then an entire block lights up,â Arellano said.
From law firms to retail businesses moving away from malls, Wynwood is a solid investment for businesses in all industries, Arellano and Marinoff said.
âLeasing is very solid. He hits all the cylinders. It is currently the best investment in any submarket in the country. Hands down, âMarinoff said.