NYC Grocery Owners PANIC Over Zohran Mamdani’s $30 MILLION City-Run Grocery Store Plan

When New York City elected socialist mayor Zohran Mamdani, plenty of pundits predicted the Big Apple would soon start to rot from its core.

And while some of his policies may take years to take their toll, those in one line of work are already starting to feel the pain.

Fox News reported on the backlash Mamdani is already receiving from grocers across the five boroughs as his plan for government-backed markets start to gain momentum:

The first store is expected to open next year in La Marqueta, an existing public market space at Park Avenue and 115th Street in East Harlem. The city will spend roughly $30 million to build the store.

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Roughly 45 grocery stores sit within a 35-minute walk of the proposed grocery site, according to a Fox News Digital analysis.

The existing stores include a mix of major chains like Whole Foods and Lidl, as well as smaller neighborhood markets and bodegas.

The area is also well served by public transit. There are multiple subway and bus lines giving residents several ways to reach nearby stores if they are not in reasonable walking distance.

Some local grocers say the added competition of the city-owned store could hurt their businesses.

“Of course it will affect this store,” said Sarah Kang, manager at a CTown Supermarkets location about a 35-minute walk south, or one subway stop, from La Marqueta.

“A lot of people walk 20 to 30 minutes to get here,” she explained to Fox News Digital. “If they find a cheaper supermarket, I don’t think they’ll be willing to make that trip. It’s going to affect small grocery stores. Definitely.”

Social media posts chronicled similar concerns for small grocers across the community:

That will put all nearby grocery stores out of business.

— NyMetsFan (@FS08983678) May 21, 2026

Here’s a full transcript of the post above:

HOLY CRAP! Ugandan Mayor Mamdani is INFURIATING his own residents after announcing city-run grocery stores that cost $30 MILLION to build, and are immune from property taxes and utilities

REAL grocery store owners are panicking and livid, saying Mamdani is destroying them AND JOBS:

“There’s no way we can be open. If I lose 30 percent, I’m in trouble. I won’t be able to pay the rent. I won’t be able to pay the workers. And I don’t want to lose the whole thing, whatever it’s cost me, 45 years working all my life to lose it because, you know, I’m going to be fighting against someone who was spending our all money!!”

Pure devastation is coming if this plan isn’t shot down!

This 3rd world scammer proves he’s an utter failure again.

A recent Fox News report offered similar assessments:

DEVELOPING: NYC GROCERY STORE OWNERS BLAST MAMDANI’S CITY-RUN MARKET PLAN

New York City business owners are erupting over a proposal from NYC Islamic Ugandan Socialist Mayor Zohran Mamdani to create city-run grocery stores reportedly costing tens of millions to build while… pic.twitter.com/kzblO91BLm

— Sergeant News Network (@sgtnewsnetwork) May 22, 2026

Others on social media saw different problems with the plan:

NYC's socialist mayor outrages mom-and-pop bodegas as he unveils location of first city-run grocery store https://t.co/nBn4KXcHf6

— Daily Mail (@DailyMail) May 19, 2026

Time provided additional coverage of Mamdani’s plans:

The Mayor’s office has said it selected the sites based on grocery store density, how income levels in the areas compare with the cost of living, and population density, framing the project as an intervention in neighborhoods where access to affordable food remains uneven despite decades of redevelopment efforts.

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In total, Mamdani has pledged to ultimately open five city-owned grocery stores—one in each of New York City’s five boroughs. His Administration is still examining locations for stores in Brooklyn, Queens, and Staten Island, and is encouraging property owners to recommend sites to the city online.

The city plans to waive rent and taxes for the five new grocery stores so they can offer residents discounted food prices. The cost of establishing all the stores is estimated at $70 million. The City Council is set to begin reviewing that planned budget and how the funds are being allocated at a May 29 hearing.

The proposal has already drawn scrutiny from City Council Speaker Julie Menin, who has raised concerns about how city-owned grocery stores could affect existing bodegas and neighborhood supermarkets, signaling early friction between Mamdani’s Administration and the city lawmakers who will ultimately decide whether to approve funding.

The plan has also sparked opposition from some small-business groups and independent grocers, who argue that city-owned stores could disrupt retail food markets in the city, in which profit margins are already thin.