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New York Leaders Move to Stem Wealthy Departures as Citadel Builds Out in Miami

The showdown over a tax on nonresident luxury homes tests how far City Hall can push revenue plans without driving out major employers.

Overview

  • Business figures launched new retention efforts, with Medallion Financial founder Andrew Murstein pledging $1 million for an "Operation Boomerang" campaign to lure wealthy residents and companies back.
  • Ken Griffin said Citadel filed permits and secured several hundred thousand square feet of new office space in Miami after the mayor highlighted his $238 million penthouse in a tax video he called "creepy."
  • Apollo leader Marc Rowan was reported to be growing outside New York, and insiders described a quieter pattern of firms scaling back local plans in response to what they view as a hostile climate.
  • State and city officials pushed back on claims of a broad exodus, with Gov. Kathy Hochul’s office saying business is booming and the mayor’s press secretary stressing support for employers and job creation.
  • Mayor Zohran Mamdani promoted a pied-à-terre surcharge that would bill owners of luxury homes worth more than $5 million who do not live in the city full time, a move critics warn could cost jobs and tax revenue.