Long Island man guilty of deed theft of 2 Harlem brownstones worth $4.7M, NY attorney general says

A Kings Point man was found guilty of using fake documents to steal two Harlem brownstones worth $4.7 million and forcing an elderly homeowner to live in a homeless shelter for years.

After a seven-week trial, a jury found Joseph Makhani, 63, guilty of two counts of first-degree criminal possession of stolen property and one count of first-degree scheme to defraud, New York Attorney General Letitia James announced on Wednesday.

"Joseph Makhani maliciously targeted an elderly homeowner and shamelessly attempted to evict longtime tenants in a heartless scheme to steal two homes that never belonged to him in the first place," James said in a statement. "Today’s conviction should serve as a warning to all deed thieves: my office will hold you accountable to the full extent of the law. I will continue to do everything in my power to combat deed theft and keep New Yorkers in their homes."

In 2012, Makhani used fraudulent deeds, other false documents, and shell companies to steal the brownstone located at 107 West 118th St., and used false documents to steal a brownstone at 135 W. 131st St., evidence at trial showed.

In one filing, one of Makhani’s companies claimed to have paid only $10 for 107 W. 118th St. building from "an elderly and vulnerable homeowner." In a mortgage application, Makhani falsely said he paid $975,000 for the brownstone so he could obtain a $650,000 construction loan for renovations. He then refinanced the building and received a $1.2 million long-term mortgage on the property.

After submitting a forged application to the New York Department of Housing Preservation and Development (HPD) to convert the building into market-rate apartment rentals, he rented out each unit for as much as $3,400 per month between 2016 and 2023, allowing him to collect a monthly rent income of more than $12,000.

Evidence at trial showed the true owner of the brownstone was forced to live in a homeless shelter for years.

By 2023, the value of the stolen 107 W. 118th St. building was about $2.9 million, James said.

Tried to evict tenants

For the 135 W. 131st St. brownstone, evidence at trial showed Makhani approached one of the building’s tenants claiming he bought the building and secured the tenant’s signature by pretending to offer him a job.

Makhani then filed a fraudulent deed, misrepresenting the tenant as the owner of the building to unlawfully transfer the property to a company he controlled.

In 2013, Makhani attempted to evict the tenants of the brownstone and filed a lawsuit against them on behalf of his company. During eviction proceedings, Makhani’s ownership of the brownstone and the deed were questioned.

He then filed a new fraudulent deed that said the heirs of the last recorded owner transferred the property to his company.

By 2018, the 135 W. 131st St. building was valued at $1.8 million.

Makhani will return to court for sentencing on July 28 in front of state Supreme Court Judge Michele Rodney. He faces a maximum sentence of eight and one-third to 25 years in prison on the top count.

New Yorkers who believe they are a victim of deed theft are encouraged to contact OAG by calling 800-771-7755, emailing deedtheft@ag.ny.gov, or filing a confidential complaint online.