The council killed the controversial plan on Monday. Some Bronx residents felt the plan was not fair to the future workers who would have held some 1,200 jobs there.
They wanted a guaranteed working wage of at least $10 an hour for all mall workers.
But the mayor and developer, The Related Companies, said that was not viable. In a statement after the vote, Bloomberg said mandatory wage requirements are not the government's role.
The developer stood to get a mix of benefits from the city, including tax breaks and some help with financing.