Allentown developer Nat Hyman has been involved in a string of lawsuits and public disputes tied to his real estate holdings, including a 2025 suit against the City of Allentown over a homeless encampment along Jordan Creek, a 2019 Commonwealth Court action to block demolition of the Allentown State Hospital, a 2025 standoff with Palmer Township over the former Crayola factory, a 2018 fight with Allentown over the cost of demolishing a fire-gutted warehouse, code-violation closures at two of his apartment buildings, and public backlash over a pandemic-era eviction letter. Taken together, Nat Hyman’s lawsuits and controversies trace the recurring friction between his adaptive-reuse business and the municipalities that regulate it.
Jordan Creek Homeless Encampment Lawsuit
In March 2025, Hyman sued the City of Allentown in Lehigh County court over a homeless encampment of 15 to 20 tents along the Jordan Creek Greenway. The encampment sat next to four of his apartment properties — Meadow Place, Jordan Lofts, Allen Flats, and The Bindery — which together house roughly 400 tenants. The complaint alleged that encampment residents were trespassing on his properties, stealing water and electricity, and leaving garbage and human waste. Hyman sought $50,000 or more in damages and a court order to clear the area.1LehighValleyLive. Allentown Landlord Sues to Clean Up Homeless Encampment Near Upscale Properties
In June 2025, his attorneys issued a 60-day notice of intent to file a separate federal suit, citing the Pennsylvania Clean Streams Law, the Federal Water Pollution Control Act, and the environmental rights provision of the Pennsylvania Constitution. The notice alleged the city had allowed pollutants, including sewage and hazardous materials, to leach into Jordan Creek. Hyman also offered what he called a “sizable contribution” toward long-term homeless solutions, including a possible shelter, if the city would clear the encampment.2The Morning Call. Developer Nat Hyman Threatens New Lawsuit Against Allentown Over Jordan Creek Homeless Encampment
Mayor Matt Tuerk initially pushed back, saying in April 2025 that clearing people out without providing alternative shelter “solves nothing.” By late summer, the city’s fire department had determined the site posed a significant flood risk. After delaying an August 25 evacuation deadline following objections from advocates and nonprofits, crews moved in on September 29, 2025, and used heavy equipment to clear the area.3The Morning Call. Developer Nat Hyman Drops Lawsuit Over Allentown Homeless Encampment After City Clears Out Area
Roughly 30 people were living at the encampment when it was cleared. The Allentown YMCA opened its 80-bed overnight shelter early to accept displaced residents, funded by about $75,000 from the city, Lehigh County, and the Lehigh Valley Community Foundation.4Lehigh Valley News. Residents Stressed as Crews Bulldoze Allentown Homeless Encampment Hyman discontinued his lawsuit the next day, September 30, 2025. He received no damages or reimbursement for legal fees, and the case was dismissed without prejudice, preserving his right to refile if the encampment returned. Tuerk maintained that safety concerns, not the lawsuit, drove the decision to clear the site.5Lehigh Valley News. Developer Ends Legal Fight With Allentown After City Bulldozes Encampment
Palmer Township and the Former Crayola Factory
In June 2025, the Palmer Township Zoning Hearing Board approved Hyman’s plan to convert the former Crayola manufacturing and office complex at 2025 Edgewood Avenue into 94 studio apartments.6Palmer Township. Zoning Hearing Board Minutes, June 3, 2025 The project soured within weeks. In July 2025, the township issued a stop-work order over construction done without permits. Hyman disputed the order.
In late July, he erected wooden barricades blocking access to a parking lot at the complex that served as a popular entry point for a local bike trail. Hyman acknowledged the move was “leverage” against the township, which he accused of “bullying.” He later said he would not replace the temporary barriers with a permanent fence. Palmer Township began building a new trail alignment to bypass his property.7The Morning Call. Crayola Apartments Work Stopped
Allentown State Hospital Demolition Suit
In April 2019, Hyman filed suit in Commonwealth Court against the Pennsylvania Department of General Services, seeking to block demolition of the Allentown State Hospital, a nearly 200-acre complex listed on the Pennsylvania Register of Historic Places. He argued that the state had failed to consult with the Historical and Museum Commission as required by law and had not examined alternatives for adaptive reuse. He offered to match the sale price already negotiated with another buyer, TCA Properties, and proposed converting the buildings into apartments while dedicating portions of the land to youth sports and a school.8The Morning Call. Developer Nat Hyman Sues State to Stop Allentown State Hospital Demolition
The parties reached a truce in May 2019. Under a stipulation approved by Commonwealth Court Judge Ellen Ceisler, the state agreed it was “not moving forward at the present time” with sale or demolition and committed to giving Hyman at least 30 days’ notice before entering any sale agreement or soliciting demolition bids. Hyman withdrew his request for a preliminary injunction, saying he would continue to seek a permanent ban on demolition.9The Morning Call. Truce Reached, for Now, in Feud Over Sale, Demolition of Allentown State Hospital
2018 Warehouse Fire and Demolition Cost Fight
On October 7, 2018, a fire gutted a four-story vacant warehouse at 418 N. Franklin Street owned by Cigar Factory Allentown LLC, an entity associated with Hyman. Allentown deemed the structure a public safety hazard and authorized $1.25 million for emergency demolition. Hyman called the figure “exorbitant” and said he had an independent demolition bid of roughly $200,000.10The Morning Call. Nat Hyman Says He’s Villain in My Tragedy
The sides settled in February 2019. Hyman paid $132,363 to cover the actual demolition and fencing costs and hired his own contractor to handle debris removal at an additional $64,400.11The Morning Call. Allentown Developer Nat Hyman Reach Settlement in Dispute Over Fire Cleanup One week after the Franklin Street fire, a smaller fire broke out at another Hyman-owned vacant property at 361 W. Gordon Street, with damage limited to the second floor. Investigators did not initially classify it as suspicious. Hyman publicly said he believed both fires were intentionally set, noting that the Gordon Street building had no active utilities.12LehighValleyLive. Fire at Second Nat Hyman Property
Code Violations and Building Closures
Hyman’s record as a landlord has drawn repeated scrutiny. City records reviewed during the 2017 mayoral campaign showed that his properties had received minor citations, mostly for overflowing dumpsters and sidewalk debris. More serious actions occurred in 2006, when Allentown officials shuttered a Hyman-owned apartment building on Jordan Street for code violations and later charged him with illegally reoccupying the premises and renovating without a permit. Those charges were ultimately withdrawn. The same year, the city closed a Hyman property on Railroad Street over problems with sprinkler pipes, emergency lighting, and fire escapes. The building was allowed to reopen in 2007 after repairs.13The Morning Call. Could Allentown Business Owner Nat Hyman Avoid Conflict of Interest as Mayor
Pandemic Eviction Letter
In March 2020, during the early days of the COVID-19 pandemic, Hyman Properties sent a letter to tenants threatening to begin eviction proceedings against anyone who did not pay rent in full by April 6. The letter went viral on social media. Hyman said he and his wife received death threats. He publicly apologized, calling the letter “very insensitive” and saying it “does not reflect me or my company values in any way.” He said he had not personally reviewed the letter before it was sent. The company subsequently worked with tenants on payment plans, and no pandemic-era evictions were carried out.14LehighValleyLive. Allentown Landlord Apologizes for Letter Threatening Eviction During Coronavirus Pandemic
Who Nat Hyman Is
Hyman runs Hyman Properties, a real estate firm that specializes in adaptive reuse: converting former mills, factories, and schools into loft-style apartments.15Hyman Properties. Our Properties His portfolio is concentrated in Allentown, where he owns at least 15 properties including The Tribeca, Jordan Lofts, The Bindery, Hamilton Pointe, and Washington Tower, with additional holdings in Nazareth, Northampton, Walnutport, Whitehall, Pottsville, and Williamsport. During his 2017 mayoral campaign, he described his Allentown holdings as more than a million square feet of apartment space.16WFMZ. Republican Mayoral Candidate Nat Hyman Comes in Second He also founded Landau, a costume jewelry chain that at its peak operated roughly 95 stores worldwide.17JCK Online. Landau Introduces Moissanite Fine Jewelry That scale, and his pattern of taking disagreements with city halls into court or into the press, is what has kept his name in the Lehigh Valley’s legal pages.