New York City Mayor Zohran Mamdani, in coordination with Governor Kathy Hochul, is pushing an aggressive “pied-à-terre” tax targeting luxury homes in the city, specifically high-value properties worth $5 million or more that are not used as primary residences.

The plan is another example of progressive tax policy aimed at squeezing wealthy property owners and driving investment out of New York.

NYC voters who backed Mamdani are already seeing the consequences of that decision. If this direction continues, it risks pushing the city further into instability, mismanagement, and decline, making reversing course increasingly difficult.

When I ran for mayor, I said I was going to tax the rich. Well today, we’re taxing the rich. I’m thrilled to announce we’ve secured a pied-à-terre tax, the first in New York’s history.

This is an annual fee on luxury properties worth more than $5 million, whose owners do not live full-time in the city. Like for this penthouse, which hedge fund CEO Ken Griffin bought for $238 million. This pied-à-terre tax is specifically designed for the richest of the rich, those who store their wealth in New York City real estate, but who don’t actually live here.

But even so, they’re able to reap the huge financial rewards of owning property in, dare I say, the greatest city in the world. And most of the time, these units are sitting empty, since again, they don’t actually live here. This is a fundamentally unfair system that hurts working New Yorkers.

Now, it’s coming to an end. This tax will raise at least $500 million directly for the city. It’ll help fund things like free child care, cleaner streets, and safer neighborhoods.

As mayor, I believe everyone has a role to play in contributing to our city. And some, a little bit more than others. Happy Tax Day, New York.

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