Super-rentals Hit the Market

Over the past decade, the upscale rental market in Manhattan has exploded, fueled by Wall street gurus making 7 figure bonuses and hedge fund managers making millions of dollars per year

By: Owen Harkness

On Monday, at the same time that Mayor Bloomberg was telling the city that our budget shortfall will reach over $5 billion in 2011, three of the most expensive rentals in the city made their debut. While incredibly expensive rental property is nothing to in the city, what does come as a shock is the fact that there may not be anyone to rent it.

Over the past decade, the upscale rental market in Manhattan has exploded, fueled by Wall street gurus making 7 figure bonuses and hedge fund managers making millions of dollars per year. With no shortage of these highly paid individuals in recent years, profits from properties with 6 figure rental rates were through the roof. With the recent implosion of the markets and the masters of Wall Street no longer certain of job security, is this the right time to offer a luxury rental in the city?

That depends on the property. Among the three huge properties placed on the market on Monday was a massive condo at the Plaza. The condo, at 5,000 square feet, was the largest original apartment in the building, and went on the rental market after being purchased by Jurgen Friedrich last year. The super-luxurious condo, purchased by Mr. Friedrich last year just went on the market for an incredible $75,000 per month.

According to the broker who developed the listing, Mr Friedrich has never spent even a single night at the high-rise property, and the unit doesn't even have any furniture! What does it have, you might ask? Well it has an all-star pedigree, of course. You may not have a sofa, but you will have the memories of Sinatra, Jackie-O, and the Beetles. I wonder if they'll hold your corn flakes, since you don't have a kitchen table, of course.