Wells Fargo is reportedly moving its wealth-management headquarters to West Palm Beach – making it the first major bank to relocate such a key part of its operations to South Florida amid the exodus of financial firms and wealthy individuals to the region.
The San Francisco-based bank signed a lease with Related Ross – run by real estate mogul Stephen Ross – to rent 50,000 square feet at the One Flagler office building, wealth chief Barry Sommers told Bloomberg.
It’s a significant move for the wealth department, which last year generated $16 billion in revenue, or roughly a fifth of the bank’s total revenue, and has about 100 of its senior executives, Sommers added.
Wells Fargo “is advancing its strategic commitment to serving high‑ and ultra‑high‑net‑worth clients by increasing its presence in West Palm Beach,” a Wells Fargo spokesperson told The Post.
“Several senior leaders are relocating to the area, strengthening our local leadership presence, and deepening engagement with clients in this high-opportunity market.”
The spokesperson added that several wealth-management team members will remain in New York, St. Louis and Charlotte, NC.
Billionaires and financial giants have flocked to South Florida over the past few years – gaining the attention of tireless New York auditors who do everything in their power to hold onto valuable tax revenue.
From 2018 to 2022, more than 125,000 New Yorkers ditched the Big Apple for Florida – taking nearly $14 billion worth of income out of the state, according to a report last May from the Citizens Budget Commission, a fiscally conservative watchdog.
About a third of those New Yorkers moved to Miami-Dade, Palm Beach and Broward Counties, accounting for a $10 billion reduction in New York City’s adjusted gross income, the report found.
It’s arguably been becoming harder for NYC to compete with the explosive tech and finance scene in South Florida, as well as the tax advantages there – especially compared to high-tax blue states like New York and California.
Ross – founder of Related Cos. and owner of the Miami Dolphins –contends Florida’s pro-business tax policies could draw Californians to switch coasts and transform Miami into the next Silicon Valley.
He himself currently lives in Palm Beach and has ramped up his investments in South Florida properties.
Sommers and his wife moved their main home to Palm Beach last month.
“When you think about some of our largest competitors, I think it is unique that we moved our wealth business down here,” he told Bloomberg.
“I couldn’t be more excited about the position we’re in and attracting really talented people to come to Wells Fargo.”
The new office, which was set to open in August, would be on the same block as JPMorgan Chase and Citizens Financial Group – but Wells Fargo is laying much deeper roots in the region.
It’s planning an expansion in the Palm Beach market that will include hiring experienced people like financial advisers, private bankers and independent broker-dealers — and potentially renting more space over time, Sommers said.
Ross said Wells Fargo’s wealth division move marks a “big step” that he expects many other companies to follow over time.
“What we’ve seen is companies that have already dipped the toe – have been here for years – have expanded their offices,” Ross told Bloomberg.
“People are seeing the growth and where the country is headed.”
Sommers and the wealth boss before him, Jon Weiss, were both based in New York, where many other top Wells Fargo execs live. But the bank’s senior leadership for the wealth business has been spread out geographically, so the new headquarters presents an opportunity to create a hub for the division.
Wells Fargo’s brokerage is headquartered in St. Louis, because of the historic brokerage firm A.G. Edward’s St. Louis roots. A.G. Edwards was acquired by Wachovia, which was later bought by Wells Fargo.
