{"id":345259,"date":"2026-09-12T22:36:11","date_gmt":"2026-09-12T22:36:11","guid":{"rendered":"https:\/\/www.newsbeep.com\/us-ny\/345259\/"},"modified":"2026-09-12T22:36:11","modified_gmt":"2026-09-12T22:36:11","slug":"east-harlem-food-fight-grocers-sue-mamdani-over-city-owned-store-2","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us-ny\/345259\/","title":{"rendered":"East Harlem Food Fight: Grocers Sue Mamdani Over City-Owned Store"},"content":{"rendered":"\n<p>Minority and immigrant-owned businesses in Manhattan are suing Democratic Socialist Mayor Zohran Mamdani, arguing that his plan to open a city-owned grocery store in East Harlem could put neighborhood grocers and bodegas out of business.<\/p>\n<p>The Multicultural Business Coalition (MBC), a coalition representing hundreds of supermarkets, bodegas and other grocery businesses, filed a class-action lawsuit Aug. 24 in New York County Supreme Court seeking to halt Mamdani\u2019s city-owned grocery initiative.<\/p>\n<p>The MBC contends the proposed store would give the city an unfair advantage over businesses operating in the private market, while Mamdani has pitched the initiative as a way to help New Yorkers save money on groceries.<\/p>\n<p>Mark Jaffe, the coalition\u2019s general counsel and president of the Greater New York Chamber of Commerce, told CNN that independent grocers cannot compete with a supermarket whose expenses are supported by the city.<\/p>\n<p>\u201cYou cannot expect hard-working small business owners to compete with a supermarket that isn\u2019t going to pay rent, won\u2019t have to pay an electric bill and won\u2019t have to buy their products at full price,\u201d Jaffe told CNN. \u201cThey cannot possibly compete because no one will be subsidizing them.\u201d<\/p>\n<p>Under Mamdani\u2019s plan, a core basket of everyday groceries would be offered at prices 30 percent below average market rates.<\/p>\n<p>His administration estimates the program could reduce New Yorkers\u2019 average grocery bills by about 15 percent, or roughly $90 a month.<\/p>\n<p>The <a rel=\"nofollow noopener\" href=\"https:\/\/www.cnn.com\/2026\/08\/24\/us\/new-york-city-mamdani-grocery-stores-plan-lawsuit\" target=\"_blank\">city would own the properties <\/a>and cover certain costs, while private operators would run the stores, according to CNN.<\/p>\n<p>The first Manhattan location is planned for La Marqueta at 1590 Park Avenue in East Harlem.<\/p>\n<p><a rel=\"nofollow noopener\" href=\"https:\/\/edc.nyc\/press-release\/mayor-mamdani-announces-la-marqueta-first-site-identified-citys-public-grocery-stores\" target=\"_blank\">La Marqueta currently supports <\/a>more than 20 small businesses and about 120 workers, according to the NYC Economic Development Corporation.<\/p>\n<p>The <a rel=\"nofollow noopener\" href=\"https:\/\/www.furmancenter.org\/neighborhoods\/east-harlem\/\" target=\"_blank\">neighborhood remains predominantly Hispanic<\/a> and Black, with 44.8 percent of residents identifying as Hispanic and 30.1 percent identifying as Black in 2024, according to the NYU Furman Center.<\/p>\n<p>More than a quarter of East Harlem residents, 26.8 percent, were foreign-born, while 32.2 percent lived below the poverty line \u2014 nearly twice the citywide rate of 18 percent.<\/p>\n<p>Elvis Arias, owner of American Deli Mini Market in East Harlem, is one of the most vocal opponents of the proposed location near his bodega.<\/p>\n<p>Speaking through a translator, Arias told Fox News that <a rel=\"nofollow noopener\" href=\"https:\/\/www.foxnews.com\/media\/nyc-business-owners-revolt-mamdani-government-run-grocery-stores-doomed-disaster.amp\" target=\"_blank\">he feared the proposed supermarket <\/a>could force him out of business.<\/p>\n<p>\u201cIf [Mamdani opens this store] in front of [my] business, [I\u2019m] going to go out of business,\u201d Arias told Fox News.<\/p>\n<p><a rel=\"nofollow noopener\" href=\"https:\/\/nypost.com\/2026\/08\/26\/business\/immigrant-businesses-who-spoke-out-against-mamdani-supermarkets-say-theyre-getting-hit-with-nyc-sanitation-fines\/\" target=\"_blank\">Arias has asked<\/a> the mayor to move the proposed supermarket farther north toward 125th Street. He also told the New York Post he might need a tobacco license to compete with the city store, while pointing to another product he believes could keep customers coming to his bodega.<\/p>\n<p>\u201cI\u2019m lucky I have the beer!\u201d Arias told the Post. \u201cThey won\u2019t have beer over there.\u201d<\/p>\n<p>Domingo Fernandez, who has operated Midtown Fish &amp; Meat Market near Park Avenue and East 116th Street since 2012, told the New York Post that a city supermarket near his business could take a bite out of his bottom line.<\/p>\n<p>\u201cMy store is doing well enough to pay my bills,\u201d Fernandez told the Post. \u201cBut if that store goes in there, I\u2019m afraid I\u2019ll lose business.\u201d<\/p>\n<p>The fight over Mamdani\u2019s grocery plan has also expanded into accusations of increased sanitation enforcement against some immigrant-owned businesses involved in the opposition.<\/p>\n<p>Diana Larrazabal, owner of Aroma D\u2019 Angel flower and gift shop on East 116th Street, told the Post that her business received three sanitation fines this year, including a $350 fine in May.<\/p>\n<p>She said some citations involved garbage that did not belong to her business.<\/p>\n<p>\u201cIt\u2019s definitely more frequent,\u201d Larrazabal told the Post.<\/p>\n<p>Fernandez has not recently received a sanitation fine, according to the Post.<\/p>\n<p>Frank Garcia, chairman of the MBC, said sanitation citations increased after coalition members began going door-to-door seeking support for the lawsuit.<\/p>\n<p>\u201cWhen we started going door to door two weeks ago, that\u2019s when the fines started,\u201d Garcia told the Post.<\/p>\n<p>Garcia said some business owners had received penalties as high as $1,000 and noted that some of the owners do not speak English.<\/p>\n<p>The New York City Department of Sanitation denied the retaliation allegations.<\/p>\n<p>A department spokesperson told the Post that \u201cDSNY issues cleanliness violations in all corners of the city,\u201d adding that the city had issued 223 commercial summonses in Harlem since March 1.<\/p>\n<p>\u201cOur only goal in issuing violations is to give all New Yorkers the clean streets they deserve,\u201d the spokesperson said.<\/p>\n<p>Mamdani has defended both the legality and purpose of his grocery initiative, arguing that city-run stores would represent only a small portion of New York City\u2019s overall grocery market.<\/p>\n<p>\u201cWe\u2019re talking about delivering five city-run grocery stores in a city of eight and a half million people that has more than 1,000 grocery stores,\u201d Mamdani said, according to CNN.<\/p>\n<p>Mamdani also said he was \u201cfully confident in both the legality and the importance of our initiative,\u201d according to Fox News.<\/p>\n<p>The mayor has pointed to existing city-supported markets in Manhattan and Brooklyn as examples of a similar model that he says has not negatively affected surrounding bodegas. CNN reported that those markets operate through the city\u2019s Economic Development Corporation, which leases city-owned properties to private vendors at below-market rates and covers certain operational costs.<\/p>\n<p>The MBC argues that the city should find another way to help struggling New Yorkers without creating a subsidized competitor to neighborhood businesses.<\/p>\n<p>Jaffe told CNN that the coalition believes there is an alternative to the proposed stores, saying, \u201cThere is a better way to feed the struggling people of New York City,\u201d Jaffe told CNN. \u201cWe have seen no business plan, this is just a marquee store that will allow the mayor to say he kept a campaign promise, so we are asking the judge to stop this.\u201d<\/p>\n<p>The lawsuit alleges the city failed to adequately study how the proposed grocery stores could affect existing businesses and neighborhood needs.<\/p>\n<p>La Marqueta could be one of the initiative\u2019s most ambitious pieces, but it won\u2019t serve East Harlem shoppers anytime soon.<\/p>\n<p>The 9,000-square-foot grocery store planned for La Marqueta will be built from the ground up and is not expected to open until 2029, according to the NYCEDC.<\/p>\n<p>The project will receive $30 million of the city\u2019s $70 million capital budget for the five-store initiative.<\/p>\n<p>NYCEDC is accepting proposed sites in those boroughs through an online portal, with potential locations required to meet minimum requirements for retail space, accessibility and a timeline that allows a grocery store to open by Dec. 31, 2029.<\/p>\n<p>NYCEDC says the locations are being selected based on the need to reach New Yorkers consistently, sustain operations and deliver real affordability over time.<\/p>\n","protected":false},"excerpt":{"rendered":"Minority and immigrant-owned businesses in Manhattan are suing Democratic Socialist Mayor Zohran Mamdani, arguing that his plan to&hellip;\n","protected":false},"author":2,"featured_media":345260,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[38],"tags":[128,123691,9,24,63,129,131,130],"class_list":["post-345259","post","type-post","status-publish","format-standard","has-post-thumbnail","category-the-bronx","tag-bronx","tag-grocers","tag-new-york","tag-new-york-city","tag-nyc","tag-the-bronx","tag-the-bronx-headlines","tag-the-bronx-news"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/345259","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/comments?post=345259"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/345259\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media\/345260"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media?parent=345259"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/categories?post=345259"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/tags?post=345259"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}