As Wall Street bankers grow increasingly disdainful of New York City, Goldman Sachs is reportedly planning a massive new campus in Dallas.
Goldman Sachs — which boasts a market capitalization of nearly $130 billion and hires 40,000 people — is one of the largest businesses based in New York. The report emerges as banking executives seek transitions out of New York City, citing rising crime statistics, higher costs of living, and other quality of life issues.
As Bloomberg News discovered:
Executives are in advanced talks with developers as the firm scouts for expanded space in North Texas, a region known for steakhouses, luxury retail and low taxes. The move could boost Goldman’s presence there to rival an older outpost in Jersey City, where the bank’s tower looms over much of the local skyline — and even supplant it in time, according to people with knowledge of the situation.
Fox Business adds:
Goldman already has a presence in the Dallas area, with more than 1,000 employees working out of downtown Dallas’ Trammell Crow Center and another 600 workers at its Richardson consumer banking office with plans to add hundreds more… If the purported new campus comes into fruition, Dallas could replace Salt Lake City as the firm’s largest hub outside the New York area.
Goldman Sachs spokesperson Maeve DuVally told Bloomberg that “We continue to grow our presence in the Dallas area but cannot comment at this time on our future expansion plans.” She repeated the same statement to Fox Business.
At the end of last year, the investment bank considered moving its asset management business to Miami. Indeed, news of Goldman Sachs’ move comes weeks after a deluge of bankers requested moves out of New York.
Fox Business reported:
Job headhunters say banks such as JPMorgan and Goldman Sachs have what is being described as a waiting list of executives looking to move to the Sunshine State primarily because of its lower cost of living, but also because of other quality of life issues including a lower crime rate. Manhattan, where both firms are located, is dealing with a spike in crime and homelessness. Under Mayor Bill de Blasio crime statistics have risen in most categories with the New York Police Department reporting a 39.6% rise in grand larceny thefts last week for the four weeks ending June 6.
While Florida ranks ninth in the nation for economic recovery after COVID-19 and the lockdown-induced recession, New York ranks last. The former state is operating at 98% pre-recession capacity; the latter is operating at 81%.
New York’s violent crime wave continues after it rerouted $1 billion away from the New York City Police Department in response to George Floyd’s death.
This article has been revised to include more recent data for Florida and New York.