diff --git a/packages/twenty-front/src/modules/object-record/record-picker/components/RecordPickerNoRecordFoundMenuItem.tsx b/packages/twenty-front/src/modules/object-record/record-picker/components/RecordPickerNoRecordFoundMenuItem.tsx
new file mode 100644
index 000000000..0df81b487
--- /dev/null
+++ b/packages/twenty-front/src/modules/object-record/record-picker/components/RecordPickerNoRecordFoundMenuItem.tsx
@@ -0,0 +1,5 @@
+import { MenuItem } from 'twenty-ui/navigation';
+
+export const RecordPickerNoRecordFoundMenuItem = () => {
+  return <MenuItem disabled text={'No records found'} accent="placeholder" />;
+};
diff --git a/packages/twenty-front/src/modules/object-record/record-picker/multiple-record-picker/components/MultipleRecordPickerMenuItems.tsx b/packages/twenty-front/src/modules/object-record/record-picker/multiple-record-picker/components/MultipleRecordPickerMenuItems.tsx
index 842f9e774..4e0c0cd89 100644
--- a/packages/twenty-front/src/modules/object-record/record-picker/multiple-record-picker/components/MultipleRecordPickerMenuItems.tsx
+++ b/packages/twenty-front/src/modules/object-record/record-picker/multiple-record-picker/components/MultipleRecordPickerMenuItems.tsx
@@ -1,5 +1,6 @@
 import styled from '@emotion/styled';
 
+import { RecordPickerNoRecordFoundMenuItem } from '@/object-record/record-picker/components/RecordPickerNoRecordFoundMenuItem';
 import { MultipleRecordPickerFetchMoreLoader } from '@/object-record/record-picker/multiple-record-picker/components/MultipleRecordPickerFetchMoreLoader';
 import { MultipleRecordPickerMenuItem } from '@/object-record/record-picker/multiple-record-picker/components/MultipleRecordPickerMenuItem';
 import { MultipleRecordPickerComponentInstanceContext } from '@/object-record/record-picker/multiple-record-picker/states/contexts/MultipleRecordPickerComponentInstanceContext';
@@ -22,14 +23,6 @@ export const StyledSelectableItem = styled(SelectableListItem)`
   width: 100%;
 `;
 
-const StyledEmptyText = styled.div`
-  align-items: center;
-  color: ${({ theme }) => theme.font.color.light};
-  display: flex;
-  justify-content: center;
-  padding: ${({ theme }) => theme.spacing(2)};
-`;
-
 type MultipleRecordPickerMenuItemsProps = {
   onChange?: (morphItem: RecordPickerPickableMorphItem) => void;
 };
@@ -87,7 +80,7 @@ export const MultipleRecordPickerMenuItems = ({
   return (
     <DropdownMenuItemsContainer hasMaxHeight>
       {pickableRecordIds.length === 0 ? (
-        <StyledEmptyText>No results found</StyledEmptyText>
+        <RecordPickerNoRecordFoundMenuItem />
       ) : (
         <SelectableList
           selectableListInstanceId={selectableListComponentInstanceId}
diff --git a/packages/twenty-front/src/modules/object-record/record-picker/single-record-picker/components/SingleRecordPickerMenuItems.tsx b/packages/twenty-front/src/modules/object-record/record-picker/single-record-picker/components/SingleRecordPickerMenuItems.tsx
index 52ed7a196..9d073ac26 100644
--- a/packages/twenty-front/src/modules/object-record/record-picker/single-record-picker/components/SingleRecordPickerMenuItems.tsx
+++ b/packages/twenty-front/src/modules/object-record/record-picker/single-record-picker/components/SingleRecordPickerMenuItems.tsx
@@ -1,9 +1,7 @@
 import { isNonEmptyString, isUndefined } from '@sniptt/guards';
-import { useRef } from 'react';
 import { Key } from 'ts-key-enum';
 
 import { DropdownMenuSkeletonItem } from '@/ui/input/relation-picker/components/skeletons/DropdownMenuSkeletonItem';
-import { DropdownMenuItemsContainer } from '@/ui/layout/dropdown/components/DropdownMenuItemsContainer';
 import { SelectableList } from '@/ui/layout/selectable-list/components/SelectableList';
 import { useSelectableList } from '@/ui/layout/selectable-list/hooks/useSelectableList';
 import { useScopedHotkeys } from '@/ui/utilities/hotkey/hooks/useScopedHotkeys';
@@ -19,7 +17,6 @@ import { isSelectedItemIdComponentFamilySelector } from '@/ui/layout/selectable-
 import { useAvailableComponentInstanceIdOrThrow } from '@/ui/utilities/state/component-state/hooks/useAvailableComponentInstanceIdOrThrow';
 import { useRecoilComponentFamilyValueV2 } from '@/ui/utilities/state/component-state/hooks/useRecoilComponentFamilyValueV2';
 import { useRecoilComponentStateV2 } from '@/ui/utilities/state/component-state/hooks/useRecoilComponentStateV2';
-import styled from '@emotion/styled';
 import { isDefined } from 'twenty-shared/utils';
 import { IconComponent } from 'twenty-ui/display';
 import { MenuItemSelect } from 'twenty-ui/navigation';
@@ -33,13 +30,8 @@ export type SingleRecordPickerMenuItemsProps = {
   onRecordSelected: (entity?: SingleRecordPickerRecord) => void;
   selectedRecord?: SingleRecordPickerRecord;
   hotkeyScope?: string;
-  isFiltered: boolean;
 };
 
-const StyledContainer = styled.div`
-  display: flex;
-`;
-
 export const SingleRecordPickerMenuItems = ({
   EmptyIcon,
   emptyLabel,
@@ -49,10 +41,7 @@ export const SingleRecordPickerMenuItems = ({
   onRecordSelected,
   selectedRecord,
   hotkeyScope = SingleRecordPickerHotkeyScope.SingleRecordPicker,
-  isFiltered,
 }: SingleRecordPickerMenuItemsProps) => {
-  const containerRef = useRef<HTMLDivElement>(null);
-
   const selectNone = emptyLabel
     ? {
         __typename: '',
@@ -104,60 +93,54 @@ export const SingleRecordPickerMenuItems = ({
   );
 
   return (
-    <StyledContainer ref={containerRef}>
-      <SelectableList
-        selectableListInstanceId={selectableListComponentInstanceId}
-        selectableItemIdArray={selectableItemIds}
-        hotkeyScope={hotkeyScope}
-      >
-        <DropdownMenuItemsContainer hasMaxHeight>
-          {loading && !isFiltered ? (
-            <DropdownMenuSkeletonItem />
-          ) : recordsInDropdown.length === 0 && !loading ? (
-            <></>
-          ) : (
-            recordsInDropdown?.map((record) => {
-              switch (record.id) {
-                case 'select-none': {
-                  return (
-                    emptyLabel && (
-                      <SelectableListItem
-                        key={record.id}
-                        itemId={record.id}
-                        onEnter={() => {
-                          setSelectedRecordId(undefined);
-                          onRecordSelected();
-                        }}
-                      >
-                        <MenuItemSelect
-                          onClick={() => {
-                            setSelectedRecordId(undefined);
-                            onRecordSelected();
-                          }}
-                          LeftIcon={EmptyIcon}
-                          text={emptyLabel}
-                          selected={isUndefined(selectedRecordId)}
-                          focused={isSelectedSelectNoneButton}
-                        />
-                      </SelectableListItem>
-                    )
-                  );
-                }
-                default: {
-                  return (
-                    <SingleRecordPickerMenuItem
-                      key={record.id}
-                      record={record}
-                      onRecordSelected={onRecordSelected}
-                      selectedRecord={selectedRecord}
+    <SelectableList
+      selectableListInstanceId={selectableListComponentInstanceId}
+      selectableItemIdArray={selectableItemIds}
+      hotkeyScope={hotkeyScope}
+    >
+      {loading ? (
+        <DropdownMenuSkeletonItem />
+      ) : (
+        recordsInDropdown?.map((record) => {
+          switch (record.id) {
+            case 'select-none': {
+              return (
+                emptyLabel && (
+                  <SelectableListItem
+                    key={record.id}
+                    itemId={record.id}
+                    onEnter={() => {
+                      setSelectedRecordId(undefined);
+                      onRecordSelected();
+                    }}
+                  >
+                    <MenuItemSelect
+                      onClick={() => {
+                        setSelectedRecordId(undefined);
+                        onRecordSelected();
+                      }}
+                      LeftIcon={EmptyIcon}
+                      text={emptyLabel}
+                      selected={isUndefined(selectedRecordId)}
+                      focused={isSelectedSelectNoneButton}
                     />
-                  );
-                }
-              }
-            })
-          )}
-        </DropdownMenuItemsContainer>
-      </SelectableList>
-    </StyledContainer>
+                  </SelectableListItem>
+                )
+              );
+            }
+            default: {
+              return (
+                <SingleRecordPickerMenuItem
+                  key={record.id}
+                  record={record}
+                  onRecordSelected={onRecordSelected}
+                  selectedRecord={selectedRecord}
+                />
+              );
+            }
+          }
+        })
+      )}
+    </SelectableList>
   );
 };
diff --git a/packages/twenty-front/src/modules/object-record/record-picker/single-record-picker/components/SingleRecordPickerMenuItemsWithSearch.tsx b/packages/twenty-front/src/modules/object-record/record-picker/single-record-picker/components/SingleRecordPickerMenuItemsWithSearch.tsx
index 4c2f1740b..2e22f4b5e 100644
--- a/packages/twenty-front/src/modules/object-record/record-picker/single-record-picker/components/SingleRecordPickerMenuItemsWithSearch.tsx
+++ b/packages/twenty-front/src/modules/object-record/record-picker/single-record-picker/components/SingleRecordPickerMenuItemsWithSearch.tsx
@@ -1,5 +1,6 @@
 import { useObjectMetadataItem } from '@/object-metadata/hooks/useObjectMetadataItem';
 import { useObjectPermissionsForObject } from '@/object-record/hooks/useObjectPermissionsForObject';
+import { RecordPickerNoRecordFoundMenuItem } from '@/object-record/record-picker/components/RecordPickerNoRecordFoundMenuItem';
 import {
   SingleRecordPickerMenuItems,
   SingleRecordPickerMenuItemsProps,
@@ -15,6 +16,7 @@ import { DropdownMenuSearchInput } from '@/ui/layout/dropdown/components/Dropdow
 import { DropdownMenuSeparator } from '@/ui/layout/dropdown/components/DropdownMenuSeparator';
 import { useAvailableComponentInstanceIdOrThrow } from '@/ui/utilities/state/component-state/hooks/useAvailableComponentInstanceIdOrThrow';
 import { useRecoilComponentValueV2 } from '@/ui/utilities/state/component-state/hooks/useRecoilComponentValueV2';
+import { isNonEmptyString } from '@sniptt/guards';
 import { isDefined } from 'twenty-shared/utils';
 import { IconPlus } from 'twenty-ui/display';
 
@@ -69,13 +71,14 @@ export const SingleRecordPickerMenuItemsWithSearch = ({
 
   const hasObjectUpdatePermissions = objectPermissions.canUpdateObjectRecords;
 
-  const createNewButton = isDefined(onCreate) && (
-    <CreateNewButton
-      onClick={() => onCreate?.(recordPickerSearchFilter)}
-      LeftIcon={IconPlus}
-      text="Add New"
-    />
-  );
+  const searchHasNoResults =
+    isNonEmptyString(recordPickerSearchFilter) &&
+    records.recordsToSelect.length === 0 &&
+    !records.loading;
+
+  const handleCreateNew = () => {
+    onCreate?.(recordPickerSearchFilter);
+  };
 
   return (
     <>
@@ -84,23 +87,29 @@ export const SingleRecordPickerMenuItemsWithSearch = ({
           {isDefined(onCreate) && hasObjectUpdatePermissions && (
             <>
               <DropdownMenuItemsContainer scrollable={false}>
-                {createNewButton}
+                <CreateNewButton
+                  onClick={handleCreateNew}
+                  LeftIcon={IconPlus}
+                  text="Add New"
+                />
               </DropdownMenuItemsContainer>
               <DropdownMenuSeparator />
             </>
           )}
-          <SingleRecordPickerMenuItems
-            recordsToSelect={records.recordsToSelect}
-            loading={records.loading}
-            selectedRecord={records.selectedRecords?.[0]}
-            isFiltered={!!recordPickerSearchFilter}
-            {...{
-              EmptyIcon,
-              emptyLabel,
-              onCancel,
-              onRecordSelected,
-            }}
-          />
+          <DropdownMenuItemsContainer hasMaxHeight>
+            {searchHasNoResults && <RecordPickerNoRecordFoundMenuItem />}
+            <SingleRecordPickerMenuItems
+              recordsToSelect={records.recordsToSelect}
+              loading={records.loading}
+              selectedRecord={records.selectedRecords?.[0]}
+              {...{
+                EmptyIcon,
+                emptyLabel,
+                onCancel,
+                onRecordSelected,
+              }}
+            />
+          </DropdownMenuItemsContainer>
           <DropdownMenuSeparator />
         </>
       )}
@@ -112,23 +121,29 @@ export const SingleRecordPickerMenuItemsWithSearch = ({
       {layoutDirection === 'search-bar-on-top' && (
         <>
           <DropdownMenuSeparator />
-          <SingleRecordPickerMenuItems
-            recordsToSelect={records.recordsToSelect}
-            loading={records.loading}
-            selectedRecord={records.selectedRecords?.[0]}
-            isFiltered={!!recordPickerSearchFilter}
-            {...{
-              EmptyIcon,
-              emptyLabel,
-              onCancel,
-              onRecordSelected,
-            }}
-          />
+          <DropdownMenuItemsContainer hasMaxHeight>
+            <SingleRecordPickerMenuItems
+              recordsToSelect={records.recordsToSelect}
+              loading={records.loading}
+              selectedRecord={records.selectedRecords?.[0]}
+              {...{
+                EmptyIcon,
+                emptyLabel,
+                onCancel,
+                onRecordSelected,
+              }}
+            />
+            {searchHasNoResults && <RecordPickerNoRecordFoundMenuItem />}
+          </DropdownMenuItemsContainer>
           {isDefined(onCreate) && hasObjectUpdatePermissions && (
             <>
               <DropdownMenuSeparator />
               <DropdownMenuItemsContainer scrollable={false}>
-                {createNewButton}
+                <CreateNewButton
+                  onClick={handleCreateNew}
+                  LeftIcon={IconPlus}
+                  text="Add New"
+                />
               </DropdownMenuItemsContainer>
             </>
           )}
diff --git a/packages/twenty-ui/src/navigation/menu-item/components/MenuItemDraggable.tsx b/packages/twenty-ui/src/navigation/menu-item/components/MenuItemDraggable.tsx
index 59cb8771f..9a751d4b8 100644
--- a/packages/twenty-ui/src/navigation/menu-item/components/MenuItemDraggable.tsx
+++ b/packages/twenty-ui/src/navigation/menu-item/components/MenuItemDraggable.tsx
@@ -36,7 +36,7 @@ export const MenuItemDraggable = ({
 
   const cursorType = showGrip
     ? isDragDisabled
-      ? 'not-allowed'
+      ? 'default'
       : 'drag'
     : 'default';
 
diff --git a/packages/twenty-ui/src/navigation/menu-item/internals/components/StyledMenuItemBase.tsx b/packages/twenty-ui/src/navigation/menu-item/internals/components/StyledMenuItemBase.tsx
index 9e8806fb4..6aa395f83 100644
--- a/packages/twenty-ui/src/navigation/menu-item/internals/components/StyledMenuItemBase.tsx
+++ b/packages/twenty-ui/src/navigation/menu-item/internals/components/StyledMenuItemBase.tsx
@@ -131,7 +131,7 @@ export const StyledDraggableItem = styled.div`
 export const StyledHoverableMenuItemBase = styled(StyledMenuItemBase)<{
   disabled?: boolean;
   isIconDisplayedOnHoverOnly?: boolean;
-  cursor?: 'drag' | 'default' | 'not-allowed';
+  cursor?: 'drag' | 'default';
 }>`
   ${({ isIconDisplayedOnHoverOnly, theme }) =>
     isIconDisplayedOnHoverOnly &&
@@ -156,14 +156,12 @@ export const StyledHoverableMenuItemBase = styled(StyledMenuItemBase)<{
 
   cursor: ${({ cursor, disabled }) => {
     if (!isUndefined(disabled) && disabled !== false) {
-      return 'not-allowed';
+      return 'default';
     }
 
     switch (cursor) {
       case 'drag':
         return 'grab';
-      case 'not-allowed':
-        return 'not-allowed';
       default:
         return 'pointer';
     }