2 min read July 2023 — In an interview with Invest:, Kelly Smallridge, president and CEO of Business Development Board of Palm Beach County, talked about how Palm Beach County has become a magnet for financial services and life sciences companies, how they incorporate sustainable development in their growth, and how they are helping the business community navigate ongoing labor challenges.
What have been some major highlights and milestones over the last year for the Business Development Board of Palm Beach County (BDB)?
Palm Beach County has emerged as a magnet for financial services companies, earning it the moniker “Wall Street South.” With hundreds of private equity firms, venture capital firms, hedge funds, and wealth managers choosing Palm Beach County as their new home, the county has experienced a unique transformation. In fact, following the COVID-19 pandemic, approximately 41% of individuals who relocated to Palm Beach County came from Manhattan alone, marking a significant shift from New York to Florida. This trend has positioned us as the leading area for executive relocations within the state of Florida.
The region has become home to an impressive number of billionaires, estimated to be more than 55 people, as well as 71,000 millionaire households. The financial services industry has been thriving.
Another prosperous sector for us is the life sciences and biotech industry, particularly in medical devices. A significant development in recent years was the University of Florida’s acquisition of the Scripps Research Institute, including a 70-acre vacant parcel of land that will be dedicated to bioscience space.
Furthermore, our aviation and aerospace industry continues to expand. Private flights from fixed-based operators in our county have increased by approximately 33% due to the influx of Northeastern residents with private planes. Consequently, the demand for aviation aircraft maintenance and repair services has also risen.
In addition to these key sectors, Palm Beach County has attracted a diverse range of companies. This includes the establishment of new Amazon facilities, expansions of Publix’s distribution centers to accommodate population growth, significant capital investments, and the growth of technology companies. We have witnessed the remarkable growth of six industries overall. As such it is no surprise that the industries driving the demand for our services are firstly the financial services, secondly life sciences, and thirdly manufacturing, logistics and distribution.
How are you planning to adapt and diversify your offerings given the evolving business landscape in Palm Beach?
There are several key topics that require our continued focus. Firstly, sustainable development is paramount. We address environmental concerns and long-term economic viability, highlighting ongoing initiatives by relevant public entities. Additionally, maintaining a strong foundation in technology and innovation is crucial. We ensure robust technological infrastructure and a skilled workforce aligned with industry needs. Globalization and trade are also essential, attracting foreign direct investment and supporting export-oriented industries. Our partnership with Miami is vital for fostering international activity. Workforce development is a priority, given our low unemployment rate. We facilitate collaboration between private industry and educational institutions to align skill sets with market demands. Lastly, we emphasize the importance of inclusivity and diversity in our workforce, fostering a collaborative network that aligns with companies’ DEI policies.
Our collaboration with various stakeholders is already underway, and we are focused on effectively addressing infrastructure in our county. A Growth and Infrastructure Task Force has been established to communicate our plans to relocating companies. We are expanding our airport and enhancing transportation options, encouraging the use of public transit such as buses, the Brightline, and Tri-Rail. Our efforts also extend to addressing workforce skills and attracting talent to our area. To attract more young people, we are actively developing vibrant downtown areas that serve as a magnet for innovative companies. Our county has made significant progress in becoming younger, with the average age now around 39.5 years compared to the previous average of 70 years. By creating an environment with excellent education and safe schools, we can attract young families, which, in turn, attract outstanding companies.
What programs or incentives are in place to address infrastructure and affordable housing needs?
In November 2022, our county implemented the workforce housing bond, a loan program aimed at bridging the gap for developers interested in constructing workforce housing. By building a designated percentage of workforce housing, developers can apply for a low-interest loan to facilitate the project’s initiation. This initiative has been instrumental in promoting workforce housing. Additionally, recent legislation, Senate Bill 102, known as “Live Local Act,” enables developers to construct taller and denser buildings, reaching the height of the tallest building within a one-mile radius. This allowance is contingent upon allocating approximately 40% of the development to workforce housing. These programs, along with other initiatives in collaboration with transportation authorities, are relatively new to our county and have been significant steps forward.
How has BDB helped the business community navigate the labor shortage?
To address these challenges, we have implemented two strategies. Firstly, we have partnered with career counselors who guide and place college graduates in local businesses. Through the Academic Leaders Council, our local businesses have established direct connections with educational institutions such as Palm Beach Atlantic University, Florida Atlantic University, Keiser University, Nova Southeastern University, Lynn University, Palm Beach State College and the School District of Palm Beach County. This enables a streamlined process for placing students directly into private businesses, effectively tackling the labor issue. This direct connection has proven to be immensely helpful as companies now have a designated contact for placement guidance.
Secondly, we have developed the first-ever apartment guide specifically for workforce housing in Palm Beach County. Human resource departments can now provide this comprehensive guide to new employees, assisting them in finding suitable workforce housing options within the county. This initiative aims to address the housing issue and ensure that employees have accessible information about available housing options.
Therefore, we are witnessing a significant influx of both companies and individuals to our area. However, the most notable change is the influx of highly educated young families who are choosing to relocate here. It is remarkable to see a large number of individuals under the age of 40, often with multiple degrees from prestigious universities, along with their young children, making the move to our county. This demographic shift has brought a new dynamic to our community.
These young families appreciate the open schools, safe neighborhoods, and the overall quality of life our county offers. Their presence also attracts other companies associated with them. It usually begins with a visit to Palm Beach County, followed by the purchase of a second home, and eventually, the conversation turns to the possibility of relocating their entire company here. This shift in demographics has been significant, and we have actively worked to attract these young, talented individuals and the intellectual capital they bring to our area.
What makes Palm Beach an attractive area for businesses to expand and invest in?
Palm Beach County has positioned itself as a welcoming and business-friendly destination. Our city and county policies are designed to support businesses and foster a thriving entrepreneurial environment. One of the key strengths of our business ecosystem is its inclusivity. It’s not an exclusive “good old boys” network but rather an open network where everyone is welcome. This area attracts individuals from diverse backgrounds, and we embrace the fresh perspectives and ideas they bring. Chambers of Commerce, the Business Development Board, and the Economic Council form a robust business network that is ready, willing, and able to assist anyone looking to start or relocate their business in Palm Beach County.
We understand the importance of providing support every step of the way. We have established processes and resolutions that expedite permits for newly relocating companies, ensuring a streamlined and efficient experience. Our goal is to hold their hand throughout the process and facilitate a smooth transition into the vibrant business community of Palm Beach County.
Where do you see Palm Beach County headed in the next few years?
Palm Beach County has emerged as a thriving hub for economic growth in Florida. Our success is attributed to a model of public-private economic development and a strong focus on both public and private education. Our Economic Development partnership remains forward-thinking, visionary, and nimble, continuously addressing challenges and communicating with elected officials for necessary infrastructure improvements.
We understand the significance of having adequate office space to attract companies. Over the past 20 years, we have actively advocated for the construction of office space and have seen remarkable results. A million square feet of office space has already been built, with another 2.5 million square feet in the pipeline. Developers recognize the guidance and support provided by our Economic Development board in this endeavor.
While we prioritize the need for workforce housing, we are mindful not to compromise land designated for economic development. Our goal is to strike a balance between economic growth and maintaining a high quality of life. We recognize that a great quality of life is a key factor in attracting both talent and companies to the area.
In addition to office space, we are also witnessing the development of approximately one million square feet of light industrial space in the county. Our focus is on achieving a harmonious equilibrium between growth and quality of life, recognizing that talented employees choose where they want to live before considering where they want to work.
For more information, visit:
