By Hank Russell
Despite her insistence that she would not raise taxes, Governor Kathy Hochul announced on April 15 that she is introducing a new tax on those who own second homes, leading her GOP gubernatorial opponent, Nassau County Executive Bruce Blakeman, to accuse her of breaking her word and declaring a “war on homeownership.”
Hochul’s pied-à-terre tax would be placed on second homes in New York City valued at $5 million or more. The tax would target those homeowners who are not city residents.
The governor said that the tax would help close the city’s budget gap of $5.5 billion this fiscal year and ensure that nonresidents who own a luxury second home pay their fair share. According to the governor’s office, the proposal is expected to generate at least $500 million a year in recurring revenue for the City.
“New York City is the greatest city in the world, and the people who call it home should not be left carrying the burden alone,” Hochul said. “As Governor, I understand the importance of stabilizing the city’s finances without compromising on essential services New Yorkers count on. If you can afford a $5 million second home that sits empty most of the year, you can afford to contribute like every other New Yorker.”
This is not the first time Hochul has bailed out the city. As previously reported in Long Island Life & Politics, Hochul and Mamdani recently announced that the state will allocate an additional $1.5 billion in operating expenses over two years to help address the city’s fiscal challenges.
Mayor Zohran Mamdani, who has pushed Hochul to increase taxes on the city’s top 1%, praised Hochul’s tax proposal.
“Thanks to the support of Governor Hochul, we are one step closer to balancing our budget by taxing the ultra-wealthy and global elites with a pied-à-terre tax — the first of its kind in our state,” he said. “Alongside the governor, our administration is fighting every day to make sure we address this fiscal deficit fairly, where the wealthy contribute what they owe and our budget reflects our commitment to the working New Yorkers being priced out of our city.”
Blakeman blasted Hochul for reneging on her promise not to raise taxes and punishing city homeowners.
“Kathy Hochul’s ‘No Tax Hike’ promise has expired faster than the families fleeing New York’s affordability crisis,” he said. “Whether you’re affluent or middle-class, Hochul and Mamdani are looking to hike your property taxes and take half your house through a new inheritance tax. It’s a war on homeownership and the American Dream. Unlike Hochul, I’ll actually keep my word when I’m governor: I’ll cut your taxes, slash your utility bills in half, and protect the American Dream.”
Ryan Radulovacki, a spokesperson for the Hochul campaign, fired back, saying that Blakeman voted to raise property taxes on homeowners not once, but twice. Radulovacki said Blakeman holds “a black belt [in] lying to New Yorkers,” and “should own up to the fact that he jacked up property taxes on Long Island twice – and lies constantly on the campaign trail about it.”
Radulovacki continued, “While Governor Hochul is lowering costs and putting money back in New Yorkers’ pockets, Blakeman squeezed families with expensive tariffs, jacked up property taxes, then tries to spin his losing record.”