1st Service Solutions Advises on $6.7M CMBS Loan Assumption for Major Pennsylvania Self-Storage Owner

 1^st Service Solutions, the first firm dedicated to serving as a borrower advocate in loan restructuring and assumptions, facilitated a $6.7 million commercial mortgage-backed securities (CMBS) loan assumption for two institutional-owned self-storage facilities located in Allentown and Bethlehem, Pa. 

On behalf of the buyer, a regional self-storage provider, 1^st Service Solutions worked with special servicers and the lenders’ representatives to assume the two conduit loans for $3 million and $3.7 million, respectively, in an acquisition of the properties. The 1^st Service Solutions team was led by Andy Dunlap, Portfolio Manager. The acquisition makes the buyer the largest owner of self-storage properties in the region.  

“We were thrilled to assist the buyer in the CMBS loan assumption of the properties in order to complete the acquisition,” said Dunlap of 1^st Service Solutions. “In today’s uncertain market conditions, loan assumptions are a practical way for commercial property buyers to finance purchases, and we were happy to serve as the navigator for the buyer and seller through the process.” 

The commercial real estate team who brokered the deal included Nicholas J. Malagisi, SIOR, Managing Director, National Director of Self Storage at Sperry Van Ness, and Costas J. Hrousis, CCIM and Shawn M. Donahue, MBA of Veraxia Commercial Real Estate Solutions (formerly of Sperry Van Ness in Media, Pa). 

“It was a pleasure to work with 1^st Service Solutions throughout this very complex transaction process,” said Nicholas J. Malagisi, SIOR, National Director Self Storage of Sperry Van Ness, who brokered the sale of the facilities. “Mr. Dunlap outlined the process to our client from day one in simple terms, was tenacious in his efforts to make initial contacts with the lenders’ representatives and followed through to make the assumption occur in a timely manner – which ultimately led to a successfully closed deal.” 

Andy Dunlap is Vice President of Portfolio Management at 1st Service Solutions. Dunlap has more than 10 years experience in the loan servicing and commercial real estate servicing industries. Prior to joining 1st Service Solutions, he handled commercial real estate loan originations at BMC Capital, and also commercial mortgage portfolio management at Prudential Asset Resources. Dunlap also has significant asset management experience, including credit and market analysis, as well as property appraisal. He is active in several industry organizations, including the Commercial Mortgage Securities Association where he currently represents 1st Service Solutions in developing the first industry-accepted Investment Reporting Package (IRP) for CDOs. 

About 1^st Service Solutions

Founded in 2005, 1st Service Solutions was the first firm dedicated to serving as a borrower advocate in loan restructuring and assumptions.  Its visionary leaders, with deep experience in the servicing industry, recognized the need for a borrower advocate, even before the collapse of the commercial real estate market.  Since its creation, 1st Service Solutions has resolved more than $3 billion in loans for its clients.  For more information, please visit www.1stservicesolutions.com.