Supermarket Tycoon Responds to Mamdani’s Victory

John Catsimatidis, a billionaire and supermarket mogul, has expressed concerns following the election of Zohran Mamdani as the new mayor of New York City. Catsimatidis, who had previously threatened to relocate his business operations to New Jersey, is now considering other options after Mamdani’s victory on election night.

Catsimatidis’ Reaction to Mamdani’s Win

In June, Catsimatidis publicly criticized Mamdani, who had proposed establishing city-run grocery stores throughout the five boroughs. During a press conference with local bodega owners, he threatened to shut down his over 30 supermarkets should Mamdani win. He labeled Mamdani “not qualified” and compared him to Fidel Castro in an interview, calling the mayoral candidate’s plans a “con game.”

Former President Donald Trump also voiced support for Catsimatidis, expressing concern over Mamdani’s grocery store initiative which threatened the entrepreneurial landscape, stating that Mamdani wanted to “take over the grocery stores” that Catsimatidis operates.

Business Concerns and Future Plans

As the election unfolded, Catsimatidis noted that many business owners were shrinking their presence in New York City. With a revenue of $7.8 billion from his Red Apple Group, which includes a chain of supermarkets, convenience stores, and real estate investments, Catsimatidis considered moving his headquarters to New Jersey. However, with the recent election of Democrat Mikie Sherrill as governor of New Jersey, he has shifted his focus towards relocating to more “business-friendly” states, with Florida emerging as a primary contender.

Challenges Facing Supermarket Industry

Catsimatidis, who founded Red Apple in 1971 after dropping out of New York University, acknowledges that his supermarkets have been suffering financially, citing a significant rise in shoplifting and declining sales. He contends that the competition from potential city-operated grocery stores exempt from taxes poses a serious threat to his business. He stated, “You can’t fight city hall” in light of such competition.

Mamdani’s Grocery Store Proposal

In response to the soaring costs of groceries, Mamdani’s proposal seeks to establish tax-exempt, city-sponsored grocery stores. These stores would collaborate with local farmers and small businesses to offer groceries at wholesale prices. Mamdani emphasizes that this initiative aims to alleviate the financial burdens faced by families struggling with high food costs.

• Catsimatidis’ Red Apple Group is the largest supermarket chain in New York City.
• He employs several thousand people across his supermarkets.
• Mamdani’s initiative is designed to provide affordable groceries without profit motives.
• Urban challenges include increased shoplifting and heightened operational costs for existing supermarkets.

Catsimatidis has yet to finalize his strategy in response to city-run grocery stores, but he acknowledges that reducing his workforce may become necessary. He continues to hold onto his hope for New York City’s future, wishing for the maintenance of its quality of life and essential services like the police department.