New York officials rolled out the details of the city’s new pied-\u00e0-terre tax this week, so we took out our calculators and got busy.<\/p>\n
The tax will impact an estimated 10,000 properties in New York City, including those of Ken Griffin<\/a>, who has found himself at the center of the discourse about the levy.<\/p>\n When Mayor Zohran Mamdani<\/a> announced the tax in April, he called out Griffin by name.<\/p>\n The Citadel CEO, who lives full-time in Miami, owns three apartments in New York City: a penthouse on Central Park South that broke records when he bought it for $240 million in 2019 and two units in the upscale Upper East Side coop 740 Park Avenue, which he spent a total of $83 million on over the past year and a half.<\/p>\n The units will cost Griffin, who is estimated to be worth $48.3 billion, an extra $1.3 million to $1.4 million next year, based on the details of the tax outlined in the State’s budget, public real estate records, and building documents.<\/p>\n The hedge fund titan did not respond to a request for comment from Business Insider.<\/p>\n Griffin’s Central Park South unit would make up the bulk of his tax bill, given its market value of $15.55 million last year. The Park Avenue units, which are part of a co-op building, have a combined market value of around $6.2 million, based on his ownership stake in the building’s shares.<\/p>\n The New York City Department of Finance has a history of significantly underestimating apartment values.<\/p>\n “The assessed value has very little connection to actual market value,” Jonathan Miller, the director of markets for StreetMatrix and an expert appraiser, said. The value assessed for a $5 million property, he said, is “hardly ever 5 million.”<\/p>\n