Thiel Capital, the private investment firm established by billionaire tech mogul Peter Thiel, has announced the opening of a new office in Miami. This move marks the firm’s strategic expansion into the vibrant Wynwood district, renowned for its rapidly growing startup ecosystem and cultural institutions. The lease for the office was signed in December, and Thiel Capital stated that it would serve to enhance the company’s existing operations in Los Angeles.
The establishment of the Miami office comes at a time when California is grappling with a proposed wealth tax aimed at billionaires. This tax, which would impose a one-time 5% levy on individuals with net worths surpassing $1 billion, is currently under discussion and requires 870,000 signatures to qualify for the November 2026 ballot. Critics, including some of the wealthiest Californians, warn that such a tax could drive high net worth individuals to relocate out of the state.
Thiel’s interest in Miami aligns with a broader trend of firms relocating from California to Florida, particularly following the pandemic. Since 2020, many prominent businesses have expanded their presence in Miami, with San Francisco-based Founders Fund, another firm co-founded by Thiel, establishing an office there in 2021. Additionally, Thiel himself purchased an $18 million property in Miami’s Venetian Islands during the same year.
The proposed wealth tax is backed by SEIU-United Healthcare Workers West, aiming to raise an estimated $100 billion over five years to support healthcare, education, and food assistance initiatives in California. However, concerns persisted about the impact of such taxes on the state’s economy, as voiced by attorneys representing billionaires who have threatened to permanently relocate should the tax come into effect. Governor Gavin Newsom’s office has indicated that he has consistently opposed state-level wealth taxes, arguing that they would lead to detrimental economic outcomes.
As Miami continues to emerge as a hub for investment and innovation, the expansion of Thiel Capital signifies the city’s growing appeal to major industry players.