A New Class of Wealth

In the last year, the Brazilian real has lost approximately a fifth of its value against the dollar, and the country’s inflation rate is nearing its 6.5 percent limit, the Journal reported. According to the Economic Freedom Index, a joint project from the Journal and The Heritage Foundation, researchers also noted significant setbacks for businesses in Brazil, including declines in investment freedom and monetary freedom.

In the face of state-imposed hardships, many of Brazil’s elite are taking preemptive measures and moving their accounts offshore, building strong U.S. portfolios to support their emigrating families. They’re sinking their money into promising developments, buying land and building.

In 2014, Brazilian investor Jose Assumpcao, founder of Lider Aviacao, purchased a 37,000 square-foot plot in Edgewater, which included approvals to build a 16-story, 127-unit residential tower, the Daily Business Review reported. And he’s not the only one.

According to the Journal, Brazilians are now among Miami’s top three foreign buyers of high-price real estate, along with Argentines and Venezuelans.

Miami Hot, U.S. Hotter

To account for the high volumes of international investors pouring into the city, particularly those from China and Brazil, local officials recently created a special foreign investment center downtown to process EB5 visas, which are awarded to individuals investing $1,000,000 and who are creating or preserving at least 10 jobs for U.S. workers, not including investors and immediate family members.

The benefits for Miami are expected to be substantial.

“The City of Miami is staying true to the intent and mission of the United States Citizen Immigration Services by offering top-tier EB5 Regional Center projects to foreign investors which in turn will provide for the creation of thousands of jobs for our local residents,” Mikki Canton, managing director of Miami’s Office of International Business Development, said in a 2014 statement. “The mission of the City of Miami EB5 Regional Center is to create thousands of jobs for local residents and strengthen economic growth in South Florida.”

However, despite business between Miami and Brazil being up last year – 0.82 percent year-over-year from January to November, according to the U.S. Census Bureau – the city is losing market share. Brazil’s overall trade with the U.S. rose nearly twice as fast as with South Florida. With healthier savings, Brazilians are looking to the entire U.S. for opportunities.