NYC's second-home tax fails to move wealthy owners, nearby towns still courting them

Mayor Zohran Mamdani's recent tax on New York City pied-à-terre properties is creating a financial burden for owners of multiple homes, yet insiders report that it is not causing a mass exodus of luxury apartments. Lawyers and accountants advising the affluent note that loopholes are scarce, and most clients are learning to absorb the higher bill rather than relinquish their assets. In the broader region, municipalities such as Greenwich, Connecticut, are positioning themselves as attractive alternatives by offering property taxes roughly half those of adjacent Westchester County and exempting purchases from New York's mansion tax.

New high-end condos built by Caspi Development are listed for as much as $12 million, double the town's previous record sale. The town also boasts a nearby private-jet-friendly airport and a concentration of investment firms. Nevertheless, for many high-net-worth individuals, the status of a Manhattan pied-à-terre outweighs the financial incentives of relocating to nearby locales.