New York City’s housing crisis may soon go from bad to worse.
Far-left mayoral candidate Zohran Mamdani, a Democratic Socialist and current Queens assemblyman, has unveiled a radical $100 billion-dollar plan to overhaul housing across the five boroughs—and it’s sparking fierce backlash from landlords, developers, and taxpayers alike.
Massive Rent Freeze and Tax Hikes on the Table
Mamdani wants to freeze rents for over 2.4 million stabilized units and build 200,000 new government-subsidized homes, despite an already overwhelmed public housing system. To foot the bill, he’s proposing steep tax hikes on wealthy New Yorkers and corporations—an approach critics warn could drive investment and jobs straight out of the city.
“You don’t solve a housing crisis by attacking the people building homes,” said Jared Epstein, president of Aurora Capital Associates, to FOX Business. “Demonizing developers is not an effective policy.”
Landlords Warn of Vacancy Explosion
Thousands of rent-stabilized units are already sitting empty, landlords say, because owners can’t afford essential repairs under current rent regulations. A full freeze would make things even worse—creating what some call a “housing death spiral.”
“A rent freeze is a housing freeze,” Epstein added. “If landlords can’t make ends meet, the entire system breaks down.”
$100 Billion Price Tag—and a Growing Exodus
According to Mamdani’s own campaign, the plan would cost $100 billion over 10 years—a staggering number for a city already facing fiscal strain. His solution? Higher income taxes on residents making over $1 million, and a hike in corporate taxes for businesses still trying to recover from lockdown-era losses.
Real estate experts say this kind of policy could crush private investment, widen the budget deficit, and accelerate the departure of high-income earners—a trend already underway in blue states like New York and California.
Left-Wing Support Grows Despite Warnings
Still, Mamdani’s campaign is gaining traction among younger progressives frustrated by the city’s soaring costs. According to Realtor.com, median rent in NYC has climbed to $3,397, up nearly $200 since 2024.
Tenant activists argue landlords can handle the burden.
“Landlord profits are up 12%,” said Cea Weaver, director of the New York State Tenant Bloc. “One in four New Yorkers can’t afford food or rent. Modest tax increases won’t drive out corporations.”
But Who Pays the Price?
With crime still a concern, taxes on the rise, and middle-class families fleeing to red states, many longtime New Yorkers are asking the obvious question:
Can the city survive another round of progressive experiments?
