NYC Mayor Zohran Mamdani's Luxury Second-Home Tax Proposal Wins Jeff Bezos Backing

(MENAFN- Live Mint) Amazon founder Jeff Bezos has voiced support for New York City's proposed pied-à-terre tax on luxury second homes, even as several prominent business leaders continue to oppose the measure, according to a report by Business Insider.

Speaking to CNBC on Wednesday, Bezos compared the proposed levy to taxes imposed on tourists through hotel stays.“Taxes on out-of-towners are very popular taxes. That's why there are hotel taxes,” Bezos said during the interview.

“There are limits. If you raise the hotel taxes too much, the tourists stop coming,” he added.“So you have to be judicious, but I think that the pied-à-terre tax is a fine thing for New York to do.”

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The proposed pied-à-terre tax would apply to New York City properties valued at more than $5 million that are not used as a primary residence. The tax would primarily affect wealthy homeowners whose main residence is outside New York City.

New York Governor Kathy Hochul first introduced the proposal, which New York City Mayor Zohran Mamdani later backed.

According to Business Insider, Bezos himself could be impacted by the tax because he owns multiple New York properties while maintaining his primary residence in Florida.

The proposal still requires legislative approval and has already sparked criticism from several influential figures, including US President Donald Trump and hedge fund manager Bill Ackman, both of whom have publicly opposed the idea.

Also Read | Mamdani Scraps Property Tax Hike, Counts on Second-Home Revenue Ken Griffin controversy adds to debate

The debate around the proposed tax intensified after Mamdani publicly referenced billionaire Citadel CEO Ken Griffin's $238 million penthouse in a video posted online. Griffin purchased the Manhattan property in 2019, and Mamdani used it as an example of the type of ultra-luxury property that would fall under the proposed tax framework.

Following Mamdani's comments, a senior executive at Citadel reportedly told employees in an internal memo that the company may reconsider a planned $6 billion redevelopment project linked to one of its Midtown office buildings. The memo described Mamdani's remarks as“shameful,” according to the Business Insider report.

Despite supporting the proposed tax, Bezos defended Griffin during the CNBC interview and criticised the decision to publicly single him out.

“Ken Griffin isn't a villain. He hasn't hurt anybody. He's not hurting New York. In fact, quite the opposite,” Bezos said.

“That piece of it isn't right, and there was no reason to do that,” he added, referring to the public mention of Griffin's penthouse.

The proposed tax has become part of a broader political and economic debate in New York over wealth concentration, luxury real estate ownership and how the city should raise revenue without discouraging investment from billionaires.

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