Wells Fargo Lends $84M on Sun Belt Industrial Portfolio

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Atlanta-based investor and developer MDH Partners has nabbed $84.3 million in post-acquisition financing from Wells Fargo on a portfolio of six industrial properties located throughout the Sun Belt region, Commercial Observer has learned. 

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The five-year, floating-rate loan financed the 1.58 million-square-foot portfolio with its assets located in Miami; Atlanta; Phoenix; Greensboro, N.C.; Memphis, Tenn.; and Tampa, Fla. The deal closed in early November.

This financing comes after MDH had aggregated the assets through a string of purchases this year, according to JLL, which arranged the financing.

JLL’s Christopher Drew, Maxx Carney and Reid Carleton, along with Ed Coco and Carl Beardsley, arranged the debt financing on behalf of MDH. 

“The portfolio received significant lender interest, which is a testament to exceptional strength of the sponsorship and the markets’ demand for industrial financing opportunities,” Drew said in a statement.

Carney added in a statement that the deal underscored “how industrial assets and exceptional borrowers continue to command superior interest from debt capital providers in a fragmented capital markets environment.”

The bundle of assets includes two properties in Florida — at 1350 Northwest 74th Street in Miami and at 3115-3165 Lakewood Ranch Boulevard in Bradenton, just south of Tampa. There’s one at 5300 Kennedy Road in Forest Park, Ga., just south of Atlanta; one in Greensboro, N.C., at 404420 A&B North Chimney Rock Road; one at 4565 West Watkins Street in Phoenix; and finally, 3527-3539 and 3543 Lamar Avenue in Memphis. The assets are home to more than 30 tenants of local, regional and national scope. 

“This new portfolio enhances MDH’s platform with great tenant diversity, long leases and expanding MDH’s reach to Central Florida,” MDH Chief Financial Officer Arun Singh said in a statement. “We are delighted with JLL’s financing execution, especially given uncertain market conditions. We wanted to evaluate multiple loan structures and were impressed with the final outcome.”