Steven Roth, chairman and CEO of Vornado Realty Trust, sparked controversy during the company's earnings call on Tuesday by comparing the phrase 'tax the rich' to 'disgusting racial slurs,' highlighting growing tensions between New York City Mayor Zohran Mamdani and prominent business leaders [1]. Roth argued that rhetoric targeting high earners unfairly demonizes them, stating, 'What these polls seem to be saying is that the rich are evil or the enemy or the targets or maybe even just suckers' [1]. He emphasized the economic contributions of wealthy individuals, noting, 'It is the 1% that pay 50% of New York's income taxes,' and described them as 'the epitome of the American dream,' calling for them to be 'praised and thanked' [1].
Roth also expressed support for Citadel founder Ken Griffin amid an ongoing dispute with Mayor Mamdani, referencing a recent viral video posted by Mamdani outside Griffin's Manhattan residence, which was purchased in 2019 for $238 million [1]. While Roth stated he could not speak for Griffin, he declared, 'I do unambiguously stand with him,' and voiced hope for Mamdani's success despite recent controversies [1].
In response, City Hall, through press secretary Joe Calvello, defended Mamdani's approach as part of a broader effort to rebalance the city's economy. Calvello stated, 'Mayor Mamdani wants all New Yorkers to succeed,' including business owners and major employers like Griffin, but asserted that the current tax system is 'fundamentally broken' and 'rewards extreme wealth while working people are pushed to the brink' [1]. Calvello called for 'meaningful tax reform that includes the wealthiest New Yorkers contributing their fair share' [1].
The debate was intensified by Mamdani's announcement of a new pied-à-terre tax, which was made public in the video outside Griffin's residence [1]. Griffin criticized the video, but further details of his response were not provided in the article [1].
CONCLUSION
The clash between Vornado CEO Steven Roth and Mayor Mamdani underscores deep divisions over tax policy and the role of wealthy individuals in New York City's economy. While business leaders defend the contributions of high earners, City Hall is pushing for tax reforms targeting the wealthy. The ongoing debate signals potential policy changes that could impact the city's business climate and real estate market.