MDH Partners Closes $130 Million In Financing From Capital One

MDH Partners today announces the closing of $130 million in financing from Capital One. The Frontier Loan supports more than 1.8 million square feet of MDH’s recent acquisitions and development across Savannah, Georgia; Indianapolis, Indiana; El Paso, Texas; and Ocala, Florida. Arun Singh, CFO of MDH Partners and Michael Loffredo, Capital Markets Associate worked on the loan for MDH. Senior Vice President at Capital One Mary Lucy Lester originated the loan for the firm.

“While lending in the commercial sector remains volatile, MDH is fortunate to secure competitive financing and expand our relationship with Capital One,” said Singh. “MDH’s demonstrated history of success has enabled us to earn confidence and trust from our lenders, as we deploy capital and expand our diverse portfolio across the country.”

The Frontier Loan is MDH’s second term financing deal with Capital One in the past twelve months– its first being the $59.5 million Gemini Loan that closed in July 2023. The Frontier Loan supports acquisitions and developments from MDH’s Fund II, a discretionary fund equating to $750 million of equity with $2 billion in buying power. The acquisition includes the 655,500-square-foot Beltway Logistics Center in Savannah, the 247,000-square-foot Washington Business Park in Indianapolis, the 555,000-square-foot NIT Forward in El Paso and the 350,899-square-foot Ocala Logistics Center in Ocala, Florida, which was developed by MDH. The fund is 80% invested in dozens of industrial acquisitions and new developments across the country.

“Industrial continues to be an attractive asset class within the commercial real estate sector, and this transaction is indicative of its importance in fueling economies across multiple regions in the U.S.,” said Lester. “As we continue to build this relationship, Capital One was able to offer competitive and flexible financing for MDH Partners.”

JLL also notes that leasing data indicates 2023 volume dropped 47% from the previous year. Despite a drop in leasing volume nationwide, MDH recently fully leased both Ocala Logistics Center and Beltway Logistics Center to BroadRange Logistics and a third-party logistics firm, respectively. MDH Partners had tremendous leasing success in 2023, leasing 3.1 million square feet across the firm’s portfolio. MDH currently owns or manages approximately 24 million square feet across 30 markets in 18 states.

About MDH Partners

MDH Partners is an Atlanta-based real estate investment company managing its discretionary funds targeting industrial real estate across the United States on behalf of its institutional investors. Founded in 2005 as the successor to a fifty-year-old local real estate development company, MDH Partners has led and/or participated in over $6 billion (90 million square feet) of acquisitions, developments, and asset management as an advisor and investor. For more information, visit www.mdhpartners.com