The richest resident of Chicago is relocating to the Sunshine State and he’s taking his company with him. Hedge fund manager, Ken Griffin who is worth almost $29 billion released a memo to employees that his $22 billion firm, Citadel Securities’ new headquarters will be moved to Florida.
While it’s nothing new for companies to move from high-tax states like Illinois and New York to business-friendly, lower-tax states like Florida and Texas, one consideration in the decision that is potentially disturbing for Chicago’s future business climate has nothing to do with taxes.
Officials at Citadel cited crime as the primary reason for the relocation. There have been numerous incidents involving employees of Citadel, according to a report. In addition to riots, shootings, and looting near employee’s homes, a staff member was stabbed while walking to work, and Ken Griffin faced an attempted carjacking, himself.
In a recent interview, Griffin stated, “If people aren’t safe here, they’re not going to live here. I’ve had multiple colleagues mugged at gunpoint. I’ve had a colleague stabbed on the way to work, countless issues of burglary. I mean, that’s a really difficult backdrop with which to draw talent to your city from.”
Citadel’s move is the third blow to Illinois, having lost headquarters of two other major corporations in the recent past. Boeing relocated its operations to Virginia while Caterpillar took its headquarters to Texas.
Read the complete memo to the organization from Ken Griffin:
“I am excited to share with you that Citadel is moving its global headquarters to Miami. Miami is a vibrant, growing metropolis that embodies the American Dream – embracing the possibilities of what can be achieved by a community working to build a future together. I am excited to have recently moved to Miami with my family and look forward to rapidly expanding Citadel in a city so rich in diversity and abounding with energy.
Chicago will continue to be important to the future of Citadel, as many of our colleagues have deep ties to Illinois. Over the past year, however, many of our Chicago teams have asked to relocate to Miami, New York and our other offices around the world. With our new office opening at 425 Park Avenue, our expansion at 350 Park Avenue and our new headquarters opening on Brickell Bay, in the heart of Miami’s booming financial district, we are in a strong position to support these transitions. We recognize that the choice of where to call home involves personal, family, school and other considerations, and we will provide comprehensive support to meet the needs of our teams.
Chicago has been a remarkable home for Citadel. I still remember the incredible civic pride and engagement when I arrived more than thirty years ago – and the outreach by business and political leaders who wanted us to succeed and be a part of the fabric of Chicago’s community. That ethos served us well in building our firm – and I am proud of all that we have contributed to Chicago over the past three decades. I hope we continue to make such a meaningful impact in all the cities around the world that we call home.”
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