New Details Revealed About New York’s Luxury Pied
Forbes • • business
Key Points:
- New York City property owners subject to the pied-à-terre tax will be notified by August 30 and can contest their inclusion; exemptions apply to full-time NYC residents, immediate family occupants, and rental properties.
- The tax targets homes valued over $1 million, with a notable discrepancy between market value and assessed sales value, as highlighted by a Midtown penthouse that sold for far above its assessed market value.
- Mayor Zohran Mamdani introduced the pied-à-terre tax to target non-resident wealth stored in NYC real estate, with Governor Kathy Hochul supporting the measure, which is expected to generate $500 million in revenue.
- The tax has faced criticism from billionaire Ken Griffin and former President Donald Trump, who argue it could jeopardize major investments and drive wealthy property owners away from New York City.
- A proposed 1% tax on cash-purchased homes over $1 million was discussed but ultimately excluded from the current pied-à-terre tax legislation.