A Lehigh Valley investor built a portfolio one acquisition at a time over 13 years, with conservative overall leverage but a mortgage on every property. GSM redesigned the financing: five properties with 19 units were refinanced into one $1,853,250 loan with a direct DSCR lender, and the proceeds paid off six other properties, which the investor now owns free and clear and can sell one at a time into larger multifamily via 1031 exchanges.
The investor built this Lehigh Valley portfolio one acquisition at a time over 13 years. Overall leverage across the portfolio was conservative, but every single property carried a mortgage despite the significant equity that had accumulated.
That structure limited growth. Millions of dollars in equity were trapped inside individual properties, no asset was available as strategic collateral for the next acquisition, and new deals required large cash equity contributions despite the portfolio's overall strength.
GSM Commercial Capital conducted a portfolio-level capital review and redesigned the financing. The debt was concentrated on a smaller group of properties: five properties with 19 units, on North 10th, North 11th and West Chew Streets in Allentown and Front Street in Catasauqua, were refinanced into one $1,853,250 loan with a direct DSCR lender, while leverage across the portfolio stayed prudent. The refinance closed in April 2026.
The proceeds paid off the loans on six other properties, which the investor now owns free and clear and can sell one at a time via 1031 exchange into larger multifamily acquisitions. Most multifamily portfolios evolve one acquisition at a time; few are ever redesigned. A single restructure turned 13 years of individual deals into a coordinated growth engine.
More on our work in the Lehigh Valley.