- Zohran Mamdani, a democratic socialist, is the front-runner in New York City’s mayoral race, prompting many developers to pivot from opposition to outreach.
- Property owners are exploring compromises on housing policy, backing efforts to overhaul the city’s property-tax system, and supporting faster approvals for new developments.
- While some in real estate still hope for Andrew Cuomo to consolidate opposition, others are preparing for a Mamdani administration by drafting policy proposals and building connections.
Once viewed as a threat to the real-estate industry, Zohran Mamdani now has developers reconsidering their approach, per the WSJ. With the 33-year-old state assemblyman holding a double-digit lead over Andrew Cuomo and Eric Adams in the polls, New York property owners are turning from resistance to negotiation, looking for ways to shape housing and tax policy under a likely Mamdani mayoralty.
A Shift in Strategy
Mamdani’s decisive primary win jolted developers, who feared his pledge for a citywide rent freeze and higher taxes on the wealthy. But in recent weeks, leaders in the real-estate sector have softened their stance, acknowledging his strong electoral position.
Kenny Burgos, head of the New York Apartment Association, said his group is already meeting with Mamdani and his team to discuss shared priorities. Property-tax reform, a centerpiece of Mamdani’s campaign, is one area where landlords see room for agreement.
Policy Points of Alignment
Mamdani’s platform calls for a revamp of the city’s property-tax system, which currently burdens multifamily landlords more heavily than owners of luxury co-ops and condos. Developers see potential relief if higher taxes shift toward high-value residential properties.
Some executives are also encouraged by his pledge to streamline approvals for new construction. Jared Della Valle, CEO of Alloy Development, pointed to Mamdani’s plan to speed up development reviews as a rare point of alignment between progressive politics and business interests.
Behind-the-Scenes Outreach
Industry veterans have been hosting quiet conversations with the candidate. Former Deputy Mayor Alicia Glen organized a dinner with civic leaders and housing executives to discuss workable policy frameworks. Affordable housing developer Rick Gropper is drafting proposals, including a new tax abatement program to incentivize the use of vacant rent-stabilized units for affordable housing.
Kathryn Wylde of the Partnership for New York City also convened a meeting in July where Mamdani emphasized property-tax changes as a way to ease pressure on landlords affected by rent freezes—a message that reassured some business leaders.
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Lingering Resistance
Despite the outreach, skepticism remains. Jason Haber, co-founder of the American Real Estate Association, warned that Mamdani’s policies could make the city “less affordable and less livable.” Meanwhile, a faction of developers is still rallying around Cuomo, with more than 100 executives meeting him privately last week to discuss strategies to counter Mamdani.
Why It Matters
The recalibration from confrontation to cooperation highlights the growing influence of progressive politics in New York City. For developers, preparing for a Mamdani mayoralty may help them protect their interests in a city where housing affordability and tax reform dominate the political agenda.
What’s Next
If current polling trends hold, Mamdani is likely to take office in January, making him the first democratic socialist to lead New York City. Real-estate leaders are already crafting policy recommendations in hopes of shaping how his administration balances affordability mandates with private-sector investment.
