DelShah Capital buys mixed-use, multifamily

According to Michael Shah, principal of DelShah Capital, LLC, the company has purchased 1356 1st Ave. This mixed-use, multifamily and retail property is located on the Upper East Side. The property consists of 26 residential one-bedroom condo units and a ground floor Italian restaurant Petaluma, which occupies the retail condo and has been a staple in the neighborhood for over 25 years. Structuring the transaction was complex because while the building had been converted to a condominium in the 1990s, it had been run effectively as a rental building ever since. "On a basic level, this was attractive because we see excellent upside potential for the residential units. There are also significant air rights that will allow us to add two floors to this corner building," Shah said. "We also anticipate significant growth for the retail tenant. This is an excellent asset with stable cash flow and unlimited potential, which is exactly our type of deal." Distinct New York, an affiliate of DelShah, is the exclusive marketing agency for 1356 1st Ave. DelShah will invest in the property in order to maximize rents and realize new opportunities for the property in the coming years. The sales price was not disclosed.