C4G - Attract Ai Companies with Incentives

Committee Referrals - C4 C4G

COMMISSION MEMORANDUM

RECOMMENDATION

Please place on the September 3, 2025 agenda a referral to the Finance and Economic Resiliency Committee (the “Committee”) to discuss options for creating or including in current economic incentive programs, such as the JCIP and others, economic incentives specifically aimed at attracting Artificial Intelligence companies to relocate or be created in the City of Miami Beach.

BACKGROUND/HISTORY

Taking into account that, according to CBRE, the Artificial Intelligence (AI) development will be a key factor in U.S. office demand for the foreseeable future.

As well as seeing the impact that these types of companies have had in revitalizing commercial real estate in cities such as San Francisco, where AI-related companies have leased over 5 million sq ft over the past 5 years and are projected to take up triple that amount in the next 5 years.

We believe it is important to make Miami Beach a regional epicenter for the development of the AI world akin to what has happened with the finance sector migration to the surrounding areas.

ANALYSIS

FISCAL IMPACT STATEMENT

TBD

Does this Ordinance require a Business Impact Estimate? (FOR ORDINANCES ONLY)

If applicable, the Business Impact Estimate (BIE) was published on: See BIE at: https://www.miamibeachfl.gov/city-hall/city-clerk/meeting-notices/

FINANCIAL INFORMATION

CONCLUSION

Applicable Area

Citywide

Was this Agenda Item initially requested by a lobbyist which, as defined in Code Sec. 2-481, includes a principal engaged in lobbying? No

If so, specify the name of lobbyist(s) and principal(s):

Department

Office of Commissioner Joseph Magazine

Sponsor(s)

Commissioner Joseph Magazine

Co-sponsor(s)

Condensed Title

Ref: FERC - Create/Include Economic Incentives for Artificial Intelligence (AI) Companies. (JM)

Previous Action (For City Clerk Use Only)