Stein co-managed The Ramones during their 1970s heyday |
Formal charges were pending against Natavia Lowery, 26, after she "made statements implicating herself" in the killing, a police spokesman said.
Stein was found dead at her Manhattan apartment on 30 October. She had died from blows to the head and neck.
The 62-year-old managed the Ramones along with Danny Fields during the band's heyday.
The ex-wife of Sire Records head Seymour Stein, she went into property after parting company with the band in 1980.
Dubbed a "broker to the stars", Stein's clients included Madonna, Sting, Steven Spielberg and Angelina Jolie.
'Roller coaster'
According to the New York Times newspaper, Stein was the model for the agent who tries to sell Charlie Sheen's character an apartment in the film Wall Street.
Born in Manhattan, she worked as a teacher before a blind date with Seymour Stein brought her into the music business.
The record mogul would later tell Vanity Fair magazine their marriage had resembled "eight years on a roller coaster, and not always strapped in".
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