Rocket Money to flee Montgomery County for Washington, D.C.

The latest economic development defeat for Montgomery County is coming to us from one of the hardest-hit places in MoCo's revenue exodus, downtown Silver Spring. Rocket Money, a fintech startup located at 8455 Colesville Road, is nearing a deal to relocate its headquarters to Washington, D.C., according to a report in the Washington Business Journal. The new Rocket Money HQ is expected to be located in a recently-constructed office building at 1701 Rhode Island Avenue NW. Last home to a WeWork location, the building boasts "a unique facade constructed of pre-aged copper shingles, individually hand treated by an artisan in Italy," in the words of its architectural design firm Hickok Cole.

Silver Spring already sustained one of the biggest body blows to the Montgomery County economy in history, when one of the County's few remaining Fortune 500 companies, Discovery Communications, moved its headquarters to dual facilities in New York City and Tennessee. Infamously, Discovery's suitors quietly closed the deal while the Montgomery County Council was debating a ban on circus animals. The ban passed, but so did the opportunity to retain Discovery.

Of course, Rocket Money is not a Fortune 500 company, and has far fewer employees than Discovery. But it is a prominent fintech in the region, with significant future potential. Its parent company, Rocket Companies, has made the Fortune 500 in the past, but is currently off the list at #619 as of June. Montgomery County hasn't attracted a single new major corporate HQ in over a quarter-century.

Once again, Montgomery County's highest-in-the-region tax and fee burden has bitten the County in the [pocketbook]. Another recent and devastating blow is the new Maryland "tech tax," a 3% levy on all IT services in the state that was championed to passage by Governor Wes Moore, before he left for an Italian vacation at the lake villa of George Clooney. Imagine what that tax would add up to annually for a tech firm like Rocket Money! And that's on top of that already biggest tax burden, courtesy of the County Council and Maryland General Assembly. What company in their right mind would not move if they could? Heckuva job, Brownie!