New York City just dropped a new tax on empty luxury penthouses, and the backlash is already getting loud. The proposed pied-à-terre tax targets second homes worth over $5 million, and it’s expected to pull in $500 million a year from about 13,000 properties. The goal? Fund child care, housing, and other city services. But not everyone’s on board, especially not the president, who called out Mayor Zohran Mamdani, accusing him of “destroying New York.”
The tax itself isn’t exactly new but this is the first time it’s gained real traction with both the mayor and Governor Kathy Hochul backing it. According to NBC New York, Hochul, who once promised not to raise taxes, is now calling it a “surcharge” instead of a tax, while Mamdani is all in on the “tax the rich” messaging. The difference in wording might seem like semantics, but it’s a big deal politically.
