A judge on Staten Island granted a temporary restraining order on the pied-à-terre tax on Monday, pausing enforcement while a lawsuit brought by a group of homeowners moves forward.
The pause did not last long, however, as the city filed court papers appealing the ruling, a move that blocks the judge's order from going into effect until there is a resolution to the appeal.
"Since leaving office, Mr. Mastro has already sued the city five times. We disagree with today's ruling, but we are confident in both the pied-à-terre surcharge and the City's ability to implement it fairly and effectively," said a spokesperson for Mayor Zohran Mamdani. "The Law Department will appeal the ruling immediately which will stay the order, and the City will continue with the pied-a-terre's implementation."
The latest developments come after many New York City property owners have expressed anger and confusion after they received a notice from the city stating they may owe Mayor Zohran Mamdani's pied-à-terre tax.
Real estate attorney Benjamin Williams said many property owners believe they have been wrongly targeted as the city works to identify luxury second homes.
Gov. Kathy Hochul said people are "frustrated with the rollout," but stressed, "We are not responsible for the rollout. This is something that we talked to the city about in advance."
Mayor Mamdani has maintained that the surcharge is intended to target wealthy property owners.
"This pied-à-terre tax is specifically designed for the richest of the rich," Mamdani said earlier this year in a video when the measure passed into law.
The city recently sent notices to 17,000 residents notifying them that they may owe the tax.
Mamdani later defended the administration's rollout of the program, saying property owners have time to work with the city before the surcharge takes effect.
Oral arguments were scheduled for Aug. 31.
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