New York City Mayor Zohran Mamdani has announced a proposal to allocate $70 million for a network of city-owned grocery stores, with the funds to be administered through the Economic Development Corporation (EDC). The plan includes constructing five stores, one in each borough.
The proposed investment is $10 million more than the amount Mamdani pledged during his campaign. His administration has warned that New York City faces a projected $5.4 billion budget deficit and could implement higher property taxes to address the shortfall.
According to preliminary budget documents obtained by this outlet, the EDC will identify potential sites and oversee construction of the stores under the initiative.
The proposal has drawn criticism from opponents who point to past government-run grocery projects that have experienced operational failures, including a similar effort in Kansas City, Missouri that resulted in stock shortages and high costs.
The mayor’s office has not provided details on how the new stores would be financially sustainable or how they would operate differently from existing private retail businesses.
