Apollo Global Management has chosen Austin, Texas, as the site for its second headquarters, bypassing Florida cities Miami and Palm Beach where limited capacity in private schools became a deciding factor, according to a person familiar with the firm’s decision-making process.
The private equity giant, which manages roughly $700 billion in assets, will establish a major corporate hub in the Texas capital, joining a wave of financial firms that have relocated or expanded operations in the state. The move underscores Austin’s growing appeal as a business destination, particularly for asset managers seeking lower taxes and a skilled workforce.
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Why Austin over Florida
While Florida has aggressively courted financial firms with no state income tax and a pro-business regulatory environment, Apollo’s leadership grew concerned about the availability of high-quality private schooling in Miami and Palm Beach, according to the source. Several top executives with school-age children preferred the educational infrastructure in Austin, which has expanded rapidly alongside the city’s population boom.
“The talent pool and quality-of-life factors, including schools, played a significant role,” the person said, speaking on condition of anonymity because the deliberations were private.
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Apollo’s decision adds to a pattern of financial firms favoring Texas over Florida for large-scale headquarters. In 2023, Citadel and Citadel Securities moved their headquarters from Chicago to Miami, but other firms have cited school capacity and housing costs as limiting factors in Florida’s most desirable enclaves.
Impact on Austin’s corporate sector
Apollo’s expansion is expected to bring hundreds of high-paying jobs to Austin, further cementing the city’s status as a hub for finance and technology. The firm already has a significant presence in the area, with offices in downtown Austin and a growing team of investment professionals.
The new headquarters will likely be located in a new or renovated office space, though Apollo has not disclosed specific real estate plans. The company’s primary headquarters remains in New York City.
Texas Governor Greg Abbott welcomed the announcement, calling it “a testament to Texas’s economic strength and business-friendly climate.”
Apollo declined to comment on the record about the selection process or timeline for the new office.
