Billionaires are spending huge amounts of money to support Cuomo

A version of this article first appeared in CNBC’s Inside Wealth newsletter with Robert Frank, a weekly guide for the high-net-worth investor and consumer. subscription To receive future issues, directly to your inbox.

Super PACs supporting Andrew Cuomo and opposing Zahran Mamdani in the New York City mayoral race have raised more than $40 million, with millions coming from prominent billionaires and family dynasties, according to election filings.

New York billionaires Bill Ackman, Ronald Lauder, William Lauder, Barry Diller and Dan Loeb have made large donations to a special committee called Fix the City that supports independent candidate Andrew Cuomo, according to election filings. Other non-New Yorkers donating to the group include casino magnate Steve Wynn and Alice Walton, the world’s richest woman.

The wave of big money highlights the growing fear of a Mamdani win by many wealthy, patriotic conservatives in New York. A self-described democratic socialist, Mamdani’s platform includes a rent freeze, free buses, free childcare for all and government-run grocery stores. To pay for the programs, he proposed an additional 2% tax on New Yorkers who earn more than $1 million a year.

Even as Mamdani maintains a double-digit lead in most polls, the massive money machine built on several pro-Cuomo political action committees has gained momentum as Election Day approaches. Fix the City is by far the largest of the so-called “independent spending committees,” political fundraising groups similar to super PACs that can accept unlimited money and were created to get around New York City’s campaign finance limits. They are not tax deductible for donors and they are not allowed to coordinate their efforts with a particular candidate’s campaign.

According to filings, Fix the City has raised more than $32 million, with many of the larger gifts coming after Mamdani won the June primary. There are two other anti-Mamdani committees, Defend New York City, which has raised $2.5 million, and New Yorkers for a Better Future, which has raised $1.5 million.

A political action committee supporting Mamdani, called New Yorkers for Lower Costs, has raised just under $2 million. The only known donor to the fortune to have contributed to that special committee is Elizabeth Simmons, daughter of the late billionaire hedge fund investor James Simmons.

Several large donations to repair the city came before the primary, including two gifts in June from Michael Bloomberg totaling $8.3 million. Bloomberg, who met with Mamdani in September to advise, has not made any donations to the group since then.

Many billionaires have stepped up their giving after the primaries. Joe Gebbia, Airbnb co-founder, Tesla board member and White House chief design officer, made two gifts of $1 million each to two pro-Cuomo political action committees in October.

Gebbia declined to comment on the gifts, as did several other billionaires mentioned in this article. Others could not be reached for comment.

The Lauder family, heirs to the Estée Lauder fortune, donated more than $2 million to anti-Mamdani committees. Ronald Lauder donated $750,000 to repair the city in September, while William Lauder, president of Estée Lauder Companies, gave $500,000 in late August. Other members of the Lauder family have donated more than $750,000 combined since June.

More than a half-dozen members of the Tisch family, whose wealth spans from real estate and hospitality to energy, packaging and sports, have donated to the Fix the City Foundation. Abigail, Louise, Maude and Lori Tesch each donated $100,000 in October, while Alice Tesch gave $500,000. Elizabeth, Jonathan and Meryl Tisch also donated to the political action committee after the primary.

The Tisch family’s donations carry additional symbolism since Jessica Tisch, the daughter of Loews Corp. CEO James Tisch, became the famous New York City police commissioner who oversaw the city’s continuing decline in crime. Mamdani said he intends to keep Tisch in her role as commissioner, but also called for comprehensive police reform and the creation of a “new Department of Public Safety.”

Many of the major donors backing Cuomo are hedge funders. Bill Ackman, who supported President Donald Trump’s re-election last year, gave $250,000 to fix the city in October, following two gifts of $250,000 each before the primary. Dan Loeb of Third Point gave $100,000 in October after donating $100,000 in June.

Some major donors appear to have only loose ties to New York City.

Steve Wynn, a longtime Republican donor who lists his address as Las Vegas, gave $500,000 to fix the city in October. Alice Walton, the world’s richest woman, listed her address as a PO box in Bentonville, Arkansas — the birthplace of Walmart — when she made a $100,000 donation in August, in addition to a $100,000 donation in April. Walton has little history of political giving in New York, other than donating to pro-charter school groups and candidates. Mamdani said he opposes expanding charter schools.

While many of the anti-Mamdani billionaires are Republicans, a notable exception is Barry Diller, the head of IAC and a longtime New York philanthropist who typically leans toward Democrats. Diller has given $500,000 to repair the city through two donations, the most recent in October.

What worries some Cuomo supporters is that donations from billionaires and royal families could backfire in an increasingly populist political climate. Mamdani has made these donations a point of pride during his campaign, saying the spending by the rich is proof that his policies will return power to ordinary New Yorkers.

“They spend more money than I tax them,” Mamdani said in an interview with MSNBC on Tuesday.