New York City's controversial pied-à-terre tax can move forward, an appeals court ruled Wednesday, delivering a significant legal victory to Mayor Zohran Mamdani.

The ruling allows the tax, which applies to high-value second homes, to proceed despite ongoing legal challenges. Mamdani expressed his satisfaction with the decision, stating that he was "heartened" by the outcome and anticipates defending the law in future proceedings.

"From day one, those with the most have attempted to use every legal avenue available to shield their wealth and avoid contributing more to our city," Mamdani said in a statement. "We will implement the pied-à-terre surcharge fairly and efficiently, ensuring that those most able to contribute do their part to build a city that works for everyone."

The Brooklyn Appellate Court unanimously dismissed a lawsuit filed by a group of homeowners last summer. The plaintiffs had alleged a "botched" rollout of the tax, initially brought forth in Staten Island Supreme Court by legal opponent Randy Mastro. While this particular challenge has been resolved, other legal actions against the tax remain.