Shamah launches $50M investment fund


1082 President Street

Shamah Properties, a Brooklyn-based boutique real estate firm, has launched a $50 million investment fund to acquire multifamily properties in New York City.

Founded in 1980, Shamah currently owns 13 properties, largely in Flatbush, Crown Heights and Prospect Heights. But lately, the company has been expanding its portfolio, according to CEO Alan Shamah, who said he is looking for cash-flow-positive, rent-stabilized buildings with potential upside that can be realized through interior improvements and repairs.

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In July, the firm closed on the $8.05 million purchase of an 80-unit apartment building at 1082 President Street in Crown Heights, and it is in contract to buy a 44-unit building at 1553 Ocean Avenue in Flatbush for an undisclosed price.

But that’s just the beginning. Shamah said he decided to launch the new $50 million fund because some of his investors are looking to deploy larger amounts of money in the multifamily market, which is Shamah’s specialty. Shamah said he couldn’t disclose how much money has been raised so far, but said he expects to reach his goal in the next three months.

Headquartered in an eight-person office at 919 Coney Island Avenue in Flatbush, Shamah Properties has sold some of its buildings over the years, but generally sticks to a buy-and-hold strategy. “Finding a good property is like finding a needle in a haystack,” Shamah said. “Why would I want to turn around and sell it right away?”