Texas Governor Promotes State to Businesses Leaving New York

Texas Gov. Greg Abbott is promoting his state as a destination for businesses and executives considering leaving New York City amid policy changes advanced by Mayor Zohran Mamdani. A spokesperson for the governor said Abbott is proud to welcome businesses and job creators to Texas, where there is no state income tax, reasonable regulations, and a pro-growth environment that encourages free enterprise.

The spokesperson added that punitive policies targeting successful job-creating entrepreneurs only accelerate the trend of companies choosing Texas. Abbott has made attracting out-of-state businesses a central part of his economic approach. Texas economic output per person rose more than 10 percent from 2021 to 2024 according to federal data, outpacing gains in states such as California over the same period.

The discussion gained attention after an April 15 video in which Mamdani advocated for higher taxes on non-primary residences valued above $5 million in New York City. He highlighted a $238 million Manhattan penthouse owned by the leader of a major hedge fund as an example.

The hedge fund executive responded at the Milken Institute Global Conference on May 6, describing the video as creepy and weird. The executive said the firm is reassessing plans for a $6 billion Manhattan office tower while expanding operations in Florida.

The executive had previously relocated the firm's global headquarters from Chicago to Miami in 2022, citing policies targeting the ultra-wealthy and concerns over crime. That move led to reductions in office space, employee relocations, and the loss of a major donor to civic institutions in Chicago.