I recall reading a book called the Milagro Beanfield War where the government provided owners with services that they did not want or need and then raised the taxes beyond what the people could afford. The wealthy connected people were then able to come in and scoop up the properties at bargain prices.
This looks like a variation of that plan. By raising wages they will eventually get rid of the lower income residents. That will lead to the exit of the businesses that service these customers. This will lead to a domino effect where prices of property will plummet. Then to be scooped up by those waiting for this opportunity.
It’ll be interesting to see how this plays out in the courts. When my California town considered doing it fifteen years ago, the lawyer’s conclusion was that the city could only set wages for its own employees or dictate wages to those businesses it contracted with. Guess we’ll see if state law has been changed.