A group of supermarkets, grocery stores and bodegas are suing New York City over Mayor Zohran Mamdani's plans to open several city-run grocery stores. They say the city-run stores will create unfair competition for an already struggling industry.
In East Harlem, plans are to build a city-subsidized grocery store right across the street from a bodega. The store will be at the old la Marqueta, promising a 30 percent savings on staples.
"They're going to hurt the business, and they have families that they got to feed. And people that worked here are going to lose their job," said Ricardo Rivera.
On the other side of Park Ave along east 116th street is City Fresh Market, a clean, well-stocked, 24/7 grocery store that's been feeding the neighborhood for decades. They fear their cash registers would sit empty if a taxpayer funded store opens within walking distance and cuts into their already slim profit margins.
Two lawsuits were filed on Monday against the Mayor's plans, claiming it would ruin small merchants, the very backbone of the city.
Mamdani insisted there's plenty of customers for everyone.
I continue to be fully confident in both the legality and the importance of our initiative to deliver five city-run grocery stores, one in each borough, to the people of our city," he said.
One shopper said she does welcome cheaper prices but not at the cost of putting others out of business.
"That's not normal. It should be fair competition," said Elizabeth Girodes.
The first city-subsidized store is supposed to open in the Bronx next year, followed by the rest of the boroughs by 2029