Penn-Florida Companies and Douglas Elliman Development Marketing Host Panel Event

Discussing Tax Migration and the Surge of South Florida Residency

Boca Raton, FL – May 24, 2019 – May 22 was an eventful day at The Residences at Mandarin
Oriental’s condominium sales gallery in Boca Raton, where Penn-Florida Companies, a full-service
owner and developer of luxury real estate, and Douglas Elliman Development Marketing, hosted a
panel event highlighting tax migration to South Florida and the transformation of Boca Raton. The
event featured key-note speakers Jay Phillip Parker, CEO of Douglas Elliman’s Florida Brokerage,
Rochelle LeCavalier, vice president of sales at The Residences at Mandarin Oriental, Boca Raton,
Jessica Del Vecchio, economic development manager for the city of Boca Raton, and Michael
Kravitz, a tax manager at Engineered Tax Services.

The panel was hosted by Jonathan J. Miller, president and CEO of Miller Samuel Inc.

The main topic of discussion among the panel focused on an impressive migration trend from New
York and other high-tax states to South Florida. According to the experts on the panel, this trend is
only just beginning and is slated to remain long-term.

“This migration is just getting started,” said Jonathan Miller, shortly after an introduction by Frank
Weed, Penn-Florida’s vice president for development and construction.

The rest of the panel seemed to agree.

“We think of this as the tip of the iceberg,” said Jay Phillip Parker. “We have a relocation division in
our company and the phone is ringing off the hook.”

The experts cited a 17-month-old tax overhaul law that limited federal deductions for state and local
taxes, also known as the SALT tax, as an important element to the cause of this migration pattern.
Residents of high-SALT tax states like New York are witnessing the impact of the law for the first
time on their 2018 federal tax returns.

“If we compare a luxury product in New York City to a luxury product in Florida, it is easily one-third
of the cost here,” said Parker.

According to Michael Kravitz, SALT deductions will only feed the fuel to an already pre-existing tax
migration trend, a fact supported by the United States Census Bureau. According to its annual state-
by-state population estimates for 2018 in late December, Florida is among the states with the most
population gains, with a 322,000 increase in residents. Among the net losers? New York, which lost
close to 49,000 residents.

Other trends recognized by the expert panel with those migrating to South Florida cities like Boca
Raton for luxury real estate, are the demands for top-rated, deluxe residences in booming locations
near restaurants, shopping centers, and other amenities. Parker named The Residences at
Mandarin Oriental as an example of this demand.

Rochelle LeCavalier had more to add. Along with the tax incentives, residents are looking to live
where there’s action, and easy to no commuting. “People are far less preoccupied with parking
themselves on the beach,” she said. “They are more interested in walkable areas.”

“We’re seeing a shift now to telecommuting,” noted Jessica Del Vecchio.

All of the panelists agreed that in Boca Raton, the demand is apparent and that luxury real estate is
“ramping up” to meet it, with no sign of slowing.

About Penn-Florida Companies

Founded in 1987, Penn-Florida Companies is a respected owner and full-service developer of
luxury, high-profile real estate. With headquarters located in Boca Raton and regional offices located
in Orlando, Florida, Penn-Florida specializes in creating ultra-luxury, one-of-a-kind residential and
commercial projects throughout the state. By limiting the company’s portfolio to unique properties in
select locations, and upholding its long-standing commitment to delivering exceptional experiences
and lifestyles, Penn-Florida has distinguished itself as a market leader for luxury and quality.
www.pennflorida.com

About Douglas Elliman Development Marketing

Douglas Elliman Development Marketing, a division of Douglas Elliman Real Estate, offers
unmatched expertise in sales, leasing and marketing for new developments internationally and
throughout the United States, in New York City, Long Island, The Hamptons, Westchester, New
Jersey, South Florida, California and Massachusetts. The firm ranks amongst New York City’s most
prominent sales and marketing firms with over 100 in-house development professionals and an over
$87 billion global new development portfolio. Our hybrid platform of matching experienced new
development experts with our skilled brokerage professionals provides unparalleled expertise and
real-time market intelligence to our clients. Drawing upon decades of experience and market-specific
knowledge, Douglas Elliman Development Marketing offers a multidisciplinary approach that
includes comprehensive in-house research, planning and design, marketing, and sales. Through a
strategic global alliance with Knight Frank Residential, the world’s largest privately-owned property
consultancy, the company markets properties to audiences in 60 countries.
http://www.elliman.com/new-developments.

Media Contacts:

Marianna Abbate
Luxury PR Group
561.843.9554
Marianna@luxuryprgroup.com

Samantha Feld
Douglas Elliman Real Estate
212.891.7735
samantha.feld@elliman