Texas Gov. welcomes companies fleeing NYC, Mamdani

Mayor's ultra-progressive policies frightening residents and businesses and driving them out, experts and officials say.

Published May 11, 2026  •  3 minute read

New York City is losing residents and businesses to red states, experts say. Photo by Seth Wenig /The Associated Press

Start spreading the news, they’re leaving today.

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Texas Gov. Greg Abbott is welcoming New-York based companies relocating or expanding into his state after New York Mayor Zohran Mamdani lambasted hedge fund billionaire Ken Griffin for being wealthy, the New York Post reported.

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“Governor Abbott is proud to welcome businesses and job creators from across the country to Texas, where we have no state income tax, reasonable regulations, and a pro-growth environment that encourages free enterprise to flourish,” Abbott spokesperson Andrew Mahaleris told the newspaper. “Punitive policies that target successful job-creating entrepreneurs only accelerate the trend of companies choosing Texas.”

Money in, migrants out

Companies are increasingly choosing Texas over New York and other Democratic-leaning states as places of choice to do business, thanks to enterprise-friendly policies. Abbott also bused more than 100,000 migrants out of his state to New York, a so-called “sanctuary city” where local officials generally do not cooperate with U.S. Immigration and Customs Enforcement (ICE). The corporate migration comes hot on the heels of Mamdani’s recent rhetoric against the wealthy of his city amid the city’s budget challenges, with a social media video filmed outside of Griffin’s $238-million Midtown penthouse.

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New York City Mayor Zohran Mamdani. Photo by Spencer Platt /Getty Images

Dial it back, Mamdani told

Insiders at New York’s City Hall have told Mamdani to tone down the language or risk more wealth fleeing the city, the Post reported, adding that he’s stuck between finding much-needed money for the city and placating his ultra-progressive voter base with his policies pushing higher taxes on corporations and residents to finance large-scale public housing, rent freezes, free bus transit and more sanctuary-city initiatives.

“The mayor’s office is feeling pressure around this and they are looking for ways to change the narrative around business,” a city business leader who asked not to be named told the newspaper. “They’re in a pickle because he’s hearing all the business leaders are looking for exit strategies now and Mamdani needs money and needs to keep his base happy. This might be an inflection point because NYC is already a welfare state supported by very few people at the top who can leave.”

They don’t want any part of it, New York, New York

New York has lost $660 billion in economic growth over the last 10 years, the worst of all 50 states, according to the Committee to Unleash Prosperity, often to the benefit of Republican-leaning red states such as Florida and Texas. Data from the officer of comptroller Thomas DiNapoli said residents were also on the way out, citing spiking costs-of-living and taxes.

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Such losses could majorly hamper the city’s ability to raise money, which is greatly strengthened by Wall St. businesses that call the city home.

“The challenge right now is that an anti-business narrative is hardening and while some in the far-left political base may embrace an anti-business sentiment, the mayor knows that the city’s success is actually tied to positive job creation and growth because those link to affordability,” Steve Fulop, president for Partnership for New York City, told the Post.

Another business insider said, “They aren’t telling people, they just do it. New York City has become so hostile. For cities, it’s a problem because they are just gone.”

‘Sheer, blind stupidity’

O’Leary Ventures CEO Kevin O’Leary told Fox News Mamdani’s vision for New York, “sheer, blind stupidity,” adding the city needs more people who, “pay taxes, create jobs, create jobs in construction and don’t use the city services.”

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