Zehra Munir and Amelia Pollard in New York Published October 2 2026
A skyscraper in midtown New York has smashed rent records by leasing its top two floors to a low-profile hedge fund for up to $21.2mn a year. Castle Hook Partners will move into the penthouse of 625 Madison Avenue, an office tower owned by real estate developer Related Companies, in the second half of 2029. The fund’s willingness to pay between $350 and $400 per square foot in yearly rent for 53,000 square feet of space signals the boom at the high end of Manhattan’s office market is accelerating.
The previous reported record for office rent was set earlier this year when a private international family office signed a 10-year lease averaging $327.50 per square foot in a Midtown tower owned by the Soloviev Group. Related chief executive Jeff Blau said the company decided to tap into the “real premium” that exists for “new, properly amenitised, high-end office with incredible views.” The 53-storey high-rise overlooking Central Park has been designed by British architect Lord Norman Foster.
Castle Hook, founded by Soros Fund Management alumnus David Rogers in 2016, is currently headquartered in the General Motors Building on Fifth Avenue. The firm manages about $11bn with 35 employees. It has posted high returns in recent years, reportedly gaining about 50 per cent last year and more than 60 per cent the year prior.
Source: Financial Times Companies · Summarized by HeadlinesBriefing