(MENAFN- Live Mint) Billionaire property magnate Barry Sternlicht drew a controversial comparison between New York and Mumbai, while criticising New York's mayor-elect, Zohran Mamdani.

In an interview with CNBC, the billionaire said New York City will essentially turn into Mumbai under Zohran Mamdani's tenure, suggesting that tenants could be emboldened not to pay their rent.

He said, "The far-left gets really nuts and says the tenants don't have to pay. Well, you can't kick them out if they don't pay."

"So, the neighbour finds out the neighbour isn't paying, and they don't pay, and the next guy doesn't pay, and then you're basically going to turn New York City into Mumbai," Barry Sternlicht said.

Barry Sternlicht's firm considering relocating

Starwood Capital, billionaire real estate investor Barry Sternlicht's firm, is considering relocating from New York now that Zohran Mamdani has been elected mayor. He claimed other businesses will likely follow suit.

Speaking to CNBC, Sternlicht warned that any lapse in public safety under Mamdani could encourage people and companies to leave the city.

He said, "If people feel like their kids aren't safe on the streets, they will pull them out of school, and they will leave. And if he defunds the police or he doesn't give them the honour and prestige they deserve, I think the city's in for a really tough time.'

In December 2020, Mamdani came out in support of defunding and dismantling the New York Police Department, Daily Mail reported. He has since walked that back and promised to maintain the current cop staffing levels.

Sternlicht added that employees in Starwood Capital's New York offices have already expressed interest in leaving, now that Mamdani is set to move into the mayor's residence at Gracie Mansion.

"We have a big office here ourselves in New York. I mean, we'll see how this works, but the team in New York is for the first time saying maybe we should leave," he said.

Starwood Capital employs about 7,000 people across 19 cities in the United States and abroad. It also has commercial and residential real estate investments throughout the city, including two luxury hotels.

One is near the Brooklyn Bridge, and the other, the Baccarat Hotel, is across the street from the Museum of Modern Art.

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