An Upper East Side mansion, recently at the center of a high-profile divorce settlement, has been identified as New York City's most valuable single-family home. The property at 9 E. 86th St. was valued at $75.8 million and is now solely owned by Jenica Paulson.
The valuation places the mansion at the top of the city's list of privately held homes, according to a review of Mayor Zohran Mamdani's newly released Class 1 property roll. This database, intended to identify properties potentially subject to the state's pied-à-terre tax, inadvertently exposed the addresses and ownership details of hundreds of thousands of New Yorkers, drawing significant criticism.
Jenica Paulson acquired the mansion as part of her divorce settlement with hedge fund titan John Paulson. She paid $30 million in May to retain the property, concluding a legal battle that began when John Paulson filed for divorce in September 2021. The couple, married in 2000, reportedly spent years litigating over significant real estate holdings.
In 2022, Jenica Paulson filed a lawsuit accusing her then-husband of concealing assets in trusts, seeking at least $1 billion in damages. John Paulson's representatives denied the claim, stating the trusts were established decades prior for their two daughters. Negotiations reportedly intensified earlier this year, leading to a settlement described as fair to both parties.
The 9 E. 86th St. property ranks second on Mayor Mamdani's list overall, surpassed only by a $112 million megamansion at 7 E. 72nd St. However, the latter property is government-owned, assembled by Qatar to serve as a royal residence, making the Paulson townhouse the most valuable home owned by an individual.
One real estate appraiser expressed skepticism regarding the city's $75.8 million assessment, suggesting the market value might be closer to $50 million based on square footage calculations. The appraiser noted that the city's method of calculating gross building area might inflate the valuation.
The release of the property roll has sparked backlash from various property owners and elected officials. Critics argue the database unnecessarily exposed numerous homeowners alongside wealthy individuals. A spokesperson for the Department of Finance stated that the property roll's release was a legal requirement for public inspection, allowing the department to identify properties potentially subject to the new non-primary residence surcharge.
Among other notable properties mentioned in the data is the former townhouse of Jeffrey Epstein at 9 E. 71st St., valued at $66.8 million, which also appeared on the city's list of priciest homes. The database also includes information on prominent New Yorkers such as Woody Allen, Anna Wintour, and Cynthia Nixon.
City officials have defended the pied-à-terre tax, projecting it could generate approximately $500 million annually, although the city comptroller's office estimates a lower figure between $340 million and $380 million.