Mamdani proposes city-owned grocery store in East Harlem

NEW YORK - New York City Mayor Zohran Mamdani is moving forward with a plan to open city-run grocery stores aimed at lowering food costs, as he outlines priorities following his first 100 days in office.

What we know:

Mamdani announced the proposal at a rally marking the milestone, where he again emphasized affordability as a central focus of his administration.

What is the proposal?

The plan calls for the city to build and operate a network of grocery stores offering lower prices on everyday essentials. Mamdani said the stores would be located on city-owned land and designed to make food more accessible for New Yorkers struggling with rising costs.

"Stores where prices are fair, where workers are treated with dignity, and where New Yorkers can actually afford to shop," Mamdani said. "At our stores, eggs will be cheaper. Bread will be cheaper. Grocery shopping will no longer be an unsolvable equation."

The city will waive rent and real estate taxes for the stores, which Mamdani said would help keep prices down while also creating "quality jobs."

East Harlem community 

The first store is expected to open next year at La Marqueta in East Harlem, a city-owned marketplace beneath Metro-North Railroad tracks along Park Avenue.

According to the New York Times, the mayor plans to spend roughly $30 million to build the store on an empty lot at the site, ensuring current vendors are not displaced. The neighborhood is predominantly Latino, and Mamdani said nearly 40% of households there received public assistance or SNAP benefits over the past year.

La Marqueta in East Harlem

La Marqueta once spanned five city blocks and housed dozens of vendors but has shrunk over the years and now includes a smaller number of shops, such as a garden center and a vegan soul food business.

5 city-run grocers by 2029

Mamdani has said he wants to open five city-run grocery stores — one in each borough — by the end of his term in 2029, a proposal he first introduced while campaigning.

How much will this cost?

By the numbers:

The administration has proposed $70 million in capital funding to build the stores, according to the New York Times. The plan will require approval from the City Council before moving forward.

Mamdani's plans: Childcare and buses

The grocery store initiative is part of a wider effort by Mamdani to address affordability across the city. During his remarks, he also highlighted a $1.2 billion partnership with New York Gov. Kathy Hochul to expand universal child care.

He outlined plans to improve public transit, including speeding up bus service along 45 priority corridors by up to 20% and reducing commute times by as much as six minutes each way. Mamdani said the city would expand accessible bus stops and build new rapid bus routes for residents living more than a half-mile from subway or rail service. However, he did not provide details on how a separate proposal to make buses free would be funded.

Other city-run grocers in the US

The idea of city-run grocery stores has gained attention nationwide as a way to combat high food prices and address "food deserts," areas with limited access to supermarkets. Atlanta opened its first municipal grocery store last year, while similar plans in Chicago have stalled.

The other side:

Still, the proposal has faced criticism. Some business leaders warn the stores could hurt private grocers. John Catsimatidis, a Republican and owner of two supermarket chains in New York City, argued the plan could lead to "bread lines of the old Soviet Union."

Others have questioned whether five stores would be enough to significantly lower prices in a city of more than 8 million people.

Will the proposal be approved?

What's next:

Some details of the grocery store plan — including how pricing and supply chains would be managed — have not yet been fully outlined.

The proposal now heads to the City Council, where it is expected to face review as part of the city’s budget and planning process.