Luxury Rentals for Wealthy Americans Are on the Rise

Something weird is happening in America’s biggest cities. People who could easily buy million-dollar homes are renting apartments instead.

And these aren’t normal apartments. We’re talking about places with movie theaters, golf simulators, and rent that costs more than most people make in a year.

Back in 2015, rich renters were unusual. But things changed fast.

A report from RentCafe found something surprising. Between 2015 and 2020, households making over $150,000 a year who chose to rent jumped by 82 percent.

Here’s the really crazy part. In 2020, there were 3,381 renters who said they made a million dollars or more per year. That’s a record.

By 2021, households earning $150,000 or more were renting 3 million apartments nationwide. The U.S. Census Bureau tracked this. It’s an 87 percent jump in just five years.

Cities like Austin, Nashville, Atlanta, and Phoenix saw huge growth. The pandemic made it even bigger. Wealthy people wanted more flexibility. They moved away from expensive coastal cities.

What seemed strange before is now normal. From New York to Miami to Los Angeles, developers are building luxury rentals. These buildings are made for tenants who care about lifestyle more than owning property.

Manhattan Goes All Out

In Manhattan, there’s a building called 18W55. It shows exactly what this trend looks like.

Morris Adjmi designed it. Skyline Developers built it. The tower has 97 units. There are studios all the way up to three-bedroom penthouses.

The apartments have finishes you’d normally see in condos you buy. Not rent. There are 17 private terraces. The fanciest penthouse? It rents for $35,000 per month.

The building has over 10,000 square feet of amenities. There’s a two-story gym. A private movie theater. A golf simulator. Spaces for working from home. Lounges for hanging out.

Orin Wilf leads Skyline Developers. He explains it simply. “Today’s renters want flexibility. But they don’t want to give up design, service, or lifestyle. Those things were usually saved for condominiums. 18W55 sets a new standard for luxury rental living in Midtown.”

Miami’s Insurance Mess

In Miami, renting isn’t just about convenience. It’s also about avoiding problems.

Armando Codina is developing a building called Regency Parc. It’s in Coral Gables. He’s been watching this trend for years.

“Condominiums have gotten very, very complicated,” he says.

Hurricanes hit Florida. Wildfires burned through California. Insurance companies started having serious problems. Older condo buildings face huge repair bills. Even newer ones need careful checking before you buy.

“It’s a have-and-have-not market,” Codina explains. The “haves” are newer, trustworthy buildings. The “have-nots” are older properties. They struggle with insurance costs and building problems.

Regency Parc opens in March 2026. Codina designed it differently. The building has 126 units. The apartments are large. They feel like actual homes. They range from 1,800 to 12,000 square feet. The floor plans are open and flexible.

“We designed every unit from the inside out,” he says.

The amenities are impressive. Telemedicine rooms. Zoom rooms. Indoor dog parks. Salons. A 15-foot movie theater. Restaurants. Private courtyards. Pools with cabanas. Art is everywhere. There’s a mural being created. A sculpture by artist Lynda Benglis.

The building attracts two groups. Empty nesters who want to downsize. And New Yorkers figuring out where to buy or renovate.

Richard Fain is the chairman of Royal Caribbean Group. He used to be its CEO. He recently listed his Coral Gables mansion for $42 million. It’s 10,840 square feet. Instead of buying something else, he signed a long-term lease at Regency Parc.

Codina himself is moving into the building. Developers almost never do this. “The only thing worse than living in a condo is to live in one you developed. But not in this building,” he says.

Los Angeles Gets Fancy Too

Los Angeles saw the same shift. Luxury lifestyle rentals are everywhere now.

There’s a building called 700 Broadway in Santa Monica. It has 196 apartments. Marmol Radziner designed the interiors. The building sits on nearly three-quarters of an acre of private parkland.

The amenities feel like a five-star hotel. Rooftop pools. Co-working lounges. Bowling alleys. Screening rooms. An on-site grocery store. A front desk staffed 24/7.

Gino A. Canori is president of Related California. He sees what’s happening. “At 700 Broadway, we’re seeing people who want to live in a top-tier building. They want condo-quality finishes. Premium amenities. The highest level of service.”

Santa Monica didn’t have a rental building this nice before. Demand is strong. People want to be near the beach. But they don’t want to give up luxury.

Canori explains the thinking. Wellness, design, and convenience are built into every part.

“At the heart of 700 Broadway is The Grove. It’s a nearly three-quarter-acre private park. Mature olive trees. A fitness pavilion with an open-air terrace. The rooftop has panoramic ocean and mountain views. There’s a 75-foot lap pool. Hot tub. Cold plunge. Two cedar barrel saunas. Today’s renter has many choices. You have to deliver an exceptional experience.”

Austin Jumps In

Austin is becoming a hot spot too. New towers are going up. There’s 6G at 600 Guadalupe. And The Waterline. That one will be the city’s tallest building.

These developments have huge layouts. Prime downtown locations. They’re made for tenants who want the city’s energy. But not long-term ownership.

What It All Means

Look at all these markets. Different prices. Different cities. But the story stays the same.

Wealthy households are choosing freedom. Flexibility. Lifestyle. They’re passing on ownership.

Manhattan shows it. Miami shows it. Los Angeles shows it.

Renting has changed. It used to be something you did because you had to. Now it’s a choice. A strategic one. America’s richest people are making it on purpose.

Author Profile

Saleem Mubarak: The writer is a real estate journalist specializing in all types of New York City properties, including luxury residences, commercial spaces, and homes.

He also writes humorous articles about real estate, investors, and realtors.