1. The Metropolitan Center at Florida International University metropolitan.fiu.edu 305-349-1251 Greater Miami Chamber of Commerce Workforce Housing Survey

2. The Metropolitan Center at Florida International University metropolitan.fiu.edu 305-349-1251 Summary Nearly 60% of respondents indicated that the rising cost of housing in Miami-Dade County has impacted their ability to recruit employees As a result over 75% of respondents have had to modify their recruitment methods to offset this trend. Over 50% of respondents indicated that the rising cost of housing in Miami-Dade County has impacted their ability to retain existing employees. Over 70% of respondents indicated half of their workforce or more reside in locations based solely on housing affordability.

3. The Metropolitan Center at Florida International University metropolitan.fiu.edu 305-349-1251 Summary (cont.) Despite the extensive impact of rising housing costs on employee recruitment and retention over 80% of respondents are not willing to offer housing assistance benefits to its workforce. Paradoxically, 85% of respondents indicated that their organization’s CEO or Senior Management is concerned about the existing cost of housing in Miami-Dade County. Respondents indicated that the bulk of responsibility in addressing the housing affordability crisis in Miami-Dade County rests with county government.

4. The Metropolitan Center at Florida International University metropolitan.fiu.edu 305-349-1251 Methodology The survey was conducted from September 4, 2006 through September 30, 2006. There were 158 completed surveys. Responses were received via the on-line portal and fax. The selected response modality breakdown is as follows: –121 (77%) on-line surveys – 37 (23%) faxed surveys Responses were received from the Chamber’s membership only.

5. The Metropolitan Center at Florida International University metropolitan.fiu.edu 305-349-1251 About the Respondents The professional profile of the typical survey respondent and their respective firm is as follows: –Most respondents: Work within Miami-Dade County (80%) Are in the finance, insurance, or business service industry (18%); Are either executive or professional staff members, partners or principals; Work within the 33131 zip code; –Represented firms: Are mostly within Miami-Dade County – of these the majority of their employees live east of the Palmetto and south of the 836 (55%) Have an average of 41 full-time employees; Have an average of 3 part-time employees; Have been in business for 25 years

6. The Metropolitan Center at Florida International University metropolitan.fiu.edu 305-349-1251 Recruitment & Retention When it comes to employee recruitment and the impact of the housing market on the same, survey respondents indicated the following: Most respondents indicated that: –They most frequently rely on the Internet to recruit employees (24%) –The rising cost of housing has negatively impacted recruitment efforts (59%) –It is most difficult to recruit at the supervisory/managerial level (30%) –As a result they have had to expand or modify recruitment methods (76%) – most notably by offering: »Increased salaries (45%) »Relocation expenses (26%) –The added cost of expanded recruitment methods had not been calculated for their organization (58%) When it comes to employee retention and the impact of the housing market on the same, the typical survey respondent indicated the following: Most respondents indicated that: –The rising cost of housing has negatively impacted their ability to retain current employees (52%) –It is most difficult to retain entry-level employees (29%)

7. The Metropolitan Center at Florida International University metropolitan.fiu.edu 305-349-1251 Recruitment & Retention

8. The Metropolitan Center at Florida International University metropolitan.fiu.edu 305-349-1251 Housing Assistance Benefits When it comes to housing affordability and assistance benefits, the typical survey respondent indicated the following: –Most respondents indicated that: 50% or more of their employees reside in locations based solely on housing affordability (71%) Their employees earning $45K per year or less would experience difficulty accessing affordable housing (38%) Despite this fact the vast majority (82%) is not willing to offer housing assistance benefits to their employees Of those willing (17respondents) only 10 are financially able to offer such benefits to their workforce Only 5 respondents indicated offering housing assistance benefits to their workforce the most common being –Relocation expenses –Down payment assistance

9. The Metropolitan Center at Florida International University metropolitan.fiu.edu 305-349-1251 Housing Assistance Benefits

10. The Metropolitan Center at Florida International University metropolitan.fiu.edu 305-349-1251 Concerns & Considerations Survey respondents expressed the following concerns and considerations –Most respondents indicated that: Their organization’s CEO is concerned about the cost of housing in Miami-Dade County (85%) That commute times and proximity to work are important considerations (90%) When asked to predict future trends and factors our survey respondents indicated the following: –Most indicated that: They anticipate continued growth within their industry (72%) Labor availability and costs (28% - combined) would be the main factors discourage their them from expanding their operations County government should bear the most responsibility in addressing the housing affordability crisis (17%)

11. The Metropolitan Center at Florida International University metropolitan.fiu.edu 305-349-1251 Addressing the Housing Crisis

12. The Metropolitan Center at Florida International University metropolitan.fiu.edu 305-349-1251 Open-Ended Responses 15 respondents voiced their concern over the high cost of insuring properties in South Florida 10 respondents voiced their concern over the impact housing costs on employee recruitment 7 respondents pointed to the increasing traffic congestion and issues of mobility as causes for concern. 6 respondents asserted that low salaries were the main problem (to the housing affordability crisis). 5 respondents pointed to the lack of affordable housing areas and affordable housing developments. 4 respondents believe that corruption in government is at the root of the housing affordability problem. 3 respondents pointed that there is even a lack of affordably priced rental units.

13. The Metropolitan Center at Florida International University metropolitan.fiu.edu 305-349-1251 THANK YOU! We would like to recognize the following companies for their support and contributions: BankUnited, FSB Baptist Health CB Richard Ellis Miami Country Day School Crosswinds Communities Greater Miami Neighborhoods Holly Real Estate Marsh USA Pinnacle Housing Group The Continental Group Zyscovich, Inc.