Mayoral Hopeful Sal Albanese Calls for Pied-a-Tierre Tax on Property Owners
Mayoral candidate Sal Albanese called for a piedà-terre tax, saying that wealthy absentee property owners should pay two or three times more in property taxes. “I’m proposing a pied-aterre tax, which would tax foreign investors who park their money in luxury real estate all over the city,” Albanese said. “I think we need to tax them and then direct that revenue into affordable housing — to build real affordable housing.” He said overseas investors own15% of the city’s luxury housing, leaving them unoccupied. Such a tax could bring billions of dollars in revenue to the city, he said. “No New York City taxpayer will be on the hook,” said Albanese. “No city resident will pay an extra dime in taxes. It will be foreign investors.”
This isn’t a new idea. In 2014, Mayor Bill de Blasio considered a similar proposal by State Senator Brad Hoylman, as per The Real Deal. Senate Republicans opposed the proposal and the tax was not put into action. The real estate industry has been adamant that increasing taxes for pied-à-terre owners would have a devastating effect on the luxury market and buyer sentiment. Albanese took a shot at the incumbent Mayor, remarking “They own Bill de Blasio, big real estate does.” On Wednesday August 23rd, NY1 will host a 90-minute Democratic mayoral debate with Sal Albanese versus Mayor de Blasio. As the only Democratic challenger going up against Mayor Bill de Blasio, Albanese has not yet gotten much attention or funding. The Italian born 67-year-old, has a BA in Education from York College, and an M.A. in health from NYU. He spent 11 years as a public school teacher. He later earned a J.D. from Brooklyn Law School. For 15 years, from1983 to 1998, he served as a NYC Councilman, representing Bay Ridge and other neighborhoods in southwest Brooklyn. This is his fourth time running for mayor. He also ran unsuccessfully for Congress in 1992, and state Assembly in 1978.
Mayoral candidate Sal Albanese called for a pied-à-terre tax, saying that wealthy absentee property owners should pay two or three times more in property taxes. “I’m proposing a pieda-terre tax, which would tax foreign investors who park their money in luxury real estate all over the city,” Albanese said.