Executives cite costs, taxes in corporate relocation trends

BOCA RATON, Fla. — Rising costs, tax burdens and competition for skilled workers are shaping where companies choose to move their headquarters, according to a new survey by the Boca Raton Office of Economic Development.

The survey, conducted among more than 2,000 executives across the U.S. in industries such as technology, finance, automotive, healthcare and insurance, found that 42% of respondents cited reducing operating costs as their top reason for relocation. One-third said corporate tax rates were the most important financial factor when evaluating new headquarters sites.

High operational costs were identified as the biggest frustration with current locations by 28% of executives, while 21% expressed dissatisfaction with their state’s tax environment. Nearly one-third said unforeseen moving expenses were their largest financial concern during relocation, and more than half preferred end-to-end support that includes financial, legal, and employee transition services.

Employee morale and community integration also ranked high among relocation priorities. About 31% said maintaining morale and minimizing cultural disruption were key concerns. Education quality was cited by 56% as a major consideration, including access to strong K-12 schools, higher education and trade programs.

Executives also pointed to innovation as a determining factor. Nearly 30% said proximity to startup incubators, research partnerships and academic institutions was essential to their future growth. When asked what they value most in a new headquarters location, 27% prioritized a pro-business, low-tax environment.

“These findings confirm what many executives are already signaling: today’s relocation decisions are about more than just cost savings,” said Jessica Del Vecchio, economic development manager for the City of Boca Raton, “Companies are searching for communities that balance financial efficiency with innovation, education, and quality of life. Boca Raton continues to stand out as a destination that delivers on all of these priorities for growing organizations.”

The Boca Raton Office of Economic Development said the survey results will inform its ongoing efforts to attract and retain growth-oriented businesses to the region.