Manhattan racks up ultra-rich renters

"Earlier this week, former Howard Hughes CEO David Weinreb agreed to rent his West Chelsea penthouse for $177,500 a month, an eye-popping figure that followed a $95,000-a-month lease at a Naftali Group building on the Upper East Side in December. Data on trophy rentals is tough to pin down, but this is likely among the most expensive leases ever inked in New York City. The two hefty leases came as inventory for Manhattan's trophy rentals—which appraiser Jonathan Miller defines as the top 1 percent of the market, with rates starting at $25,000 a month—was down more than 40 percent year-over-year in January, as new leases climbed (albeit, at a more modest pace)."

"The momentum has been building since before the pandemic and accelerated early last year, when leases asking $20,000 a month or more picked up, according to data from UrbanDigs. Though prices have been on the rise, agents say the big-ticket numbers are exceeding their expectations. "I personally have never seen prices where they're at," Douglas Elliman's John Giannone told The Real Deal in December. "When the high $100s per square foot for a rental starts to become like the norm, it's completely different from what we're used to.""

"Miller attributed the uptick in rentals to the strength of the ultra-luxury market, which logged a number of notable deals through the end of 2025 and early 2026. "It's really so dominant," Miller said of the ultraluxury market. "When deep-pocketed buyers can't get the place they want, they lease." Serhant's Peter Zaitzeff, who worked on the rental deal at Naftali's the Benson with Giannone and the Lauran Muss Team, chalked the monthly price up to a dearth of supply and people willing to pay what it takes to get a deal done."

Record-level Manhattan rental deals have emerged, including a West Chelsea penthouse leased for $177,500 monthly and an Upper East Side unit leased for $95,000 monthly. Trophy rentals, defined as the top 1 percent with rents starting at $25,000, saw inventory fall over 40 percent year-over-year in January while new leases increased. Demand rose before the pandemic and accelerated early last year as $20,000-plus asks gained traction. Brokers report surprise at per-square-foot rental heights. Appraisers and brokers attribute the surge to a dominant ultra-luxury market, limited supply, and affluent tenants opting to lease when preferred purchases are unavailable.

Read at therealdeal.com