In the aftermath of Zohran Mamdani's surprising triumph in the Democratic primary in New York City, it appears that the city's real estate moguls and financial powerhouses are rallying to form super PACs.
Their goal? To thwart the ambitions of Mamdani, a self-proclaimed democratic socialist. Despite running a financially leaner campaign than former Governor Andrew Cuomo, Mamdani managed to secure a 12-point victory. Cuomo, now a third-party candidate in the general election, enjoys widespread backing from New York's business elite.
"The long-held idea in politics that the candidates with the most money win is no longer an assured position," Grace Rauh, the executive director of Citizens Union, told The New York Times, as reported by Newsmax. This shift in political dynamics has left many affluent donors and vested interests in a state of disarray. They are now scrambling to reassess their strategies, not just in New York, but potentially on a broader scale.
The financial landscape of this mayoral race is starkly different from that of 2021. Approximately $26.6 million was funneled into supporting Cuomo's mayoral bid and opposing Mamdani's. This contrasts sharply with the $31.4 million that was more evenly distributed among six mayoral candidates four years ago.
Fix the City, the primary super PAC supporting Cuomo, raised three times as much money as Cuomo's campaign, effectively replacing his field operation, according to Citizens Union.
Rauh, a veteran of five New York City mayoral campaign cycles, noted that the primary offered valuable lessons about the importance of active supporter engagement. She emphasized that it's not just about writing checks, but also about grassroots efforts such as neighborhood canvassing and other campaign activities. "With the Mamdani campaign, we saw that on a scale I had never seen in a local race in New York City," Rauh told the Times.
Mamdani's progressive policies, including his past calls to defund the police, have caused unease among corporate leaders. They view him as a potential threat to the city's stability. Real estate executive Jared Epstein, for instance, referenced a recent rampage in Midtown Manhattan that resulted in five fatalities. "This tragedy is not just a moment of mourning; it's a call to reject policies that would make our city even more vulnerable," Epstein reportedly said during a fund-raising call with New Yorkers for a Better Future.
In a recent opinion piece for Rolling Stone, Senator Elizabeth Warren, D-Mass., criticized the billionaires and Wall Street CEOs who are pouring millions into the race to oppose Mamdani. "In a democracy, billionaires should not be able to buy our elections and control our politicians. Elected officials should work for their constituents, not use their government offices to hand out favors to a well-connected few," she wrote.
The question that arises is why these Wall Street executives are investing so heavily to stop Mamdani, the candidate advocating for affordability. Both Cuomo and incumbent Mayor Eric Adams are vying for the support of billionaire donors, seemingly oblivious to the democratic principle that elected officials should serve their constituents, not the privileged few.
As the political landscape continues to shift, it's clear that the traditional rules of the game are being challenged. The rise of candidates like Mamdani, who are not reliant on big money and who champion progressive policies, is causing consternation among the city's business elite. However, it also signals a potential shift in the balance of power, one that could redefine the future of New York City politics.
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