In 2020, the privately held investment firm closed on 12 deals valued at $200 million
Despite a global pandemic that propelled the commercial real estate industry into uncertainty, Mohr Capital closed 2020 with a blistering track record: 12 transactions in 12 months valued at more than $200 million. The transactions spanned the gamut of Mohr’s offerings — from build-to-suit industrial and retail development, to office, industrial and retail acquisitions across the country.
Yet, Mohr Capital didn’t navigate through the pandemic unhindered. State and municipal shelter-in-place orders and corporate work-from-home policies impacted their tenants as much as anyone’s.
“Like most other companies, the pandemic caused our tenants to reconsider their real estate needs,” said Bob Mohr, chairman of Mohr Capital. “Whether our tenants needed to expand or contract their space requirements, we were happy to work with them to find suitable solutions, especially during unprecedented times like these.”
How does Mohr Capital plan to overcome an unrelenting pandemic which continues to impede business-as-usual? The secret lies in the firm’s family office structure and single source of capital.
“We’re laser-focused on value creation and have longstanding banking relationships to execute deals quickly,” said Mohr. “This year, we’re more resolved than ever to grow the company through expanding our portfolio of quality real estate — we already have deals in the pipeline and are looking for more.”
Here’s a look at Mohr’s 2020 deal volume by asset class:
While the pandemic struck a destabilizing blow to office real estate in 2020, Mohr Capital acquired two high-quality office buildings with both multi-credit and single-tenant leases in Dallas, Texas, and Orlando, Florida.
“With office acquisitions, we focus on mission-critical facilities with credit tenants and solid real estate fundamentals,” said Rodrigo Godoi, managing director of investments for Mohr Capital. “Both of the properties we acquired in 2020 fulfill these criteria. We believe they will be able to withstand lingering pandemic headwinds in 2021, while providing a solid return on investment.”
The office buildings Mohr acquired in 2020 include:
4851 LBJ in Dallas, Texas
A 12-story, 200,000-square-foot office building located at the intersection of LBJ and the Dallas North Tollway. The property is 90 percent leased.
Accredo Health Building in Orlando, Florida
A two-story, 78,449-square-foot office building fully leased to Accredo Health Group, Inc., a subsidiary of the global health service company Cigna Corporation.
Industrial Development, Acquisitions and Dispositions
Out of all CRE asset classes, industrial real estate has proved to be the most resilient throughout the pandemic. Mohr Capital recognized this and leveraged its capital and financing relationships to acquire and develop industrial properties across the nation.
“The pandemic changed how businesses operate and consumers shop,” said Gary Horn, chief development officer for Mohr Capital. “Industrial assets like warehouses and logistics centers have managed to gain value in this environment, and we were able to add several of these properties to our portfolio in 2020.”
Mohr Capital’s industrial transactions and developments last year include:
Cooper Tire in Whiteland, Indiana
A one million-square-foot warehouse and distribution facility development. Once complete, the facility will house Cooper Tire in its newest Indiana location.
Herc Rentals Facility in Fort Worth, Texas
This facility was a prototype development unveiled at a Herc Rentals annual board meeting. The sale provided the buyer with a high-quality credit tenant and a steady revenue stream.
Cooper Tire in Grand Prairie, Texas
A 400,000-square-foot facility for Cooper Tire located off a high-traffic interstate. Mohr Capital sold the property to an institutional buyer after 14 years of ownership.
Phase I – Mohr Logistics Park in Whiteland, Indiana
The acquisition of 184 acres of land for Phase I of Mohr Logistics Park, a master-planned industrial park. Future phases in the Park will encompass more than 500 acres. Mohr will begin the speculative development of an 827,180-square-foot building in Spring 2021.
GAF Materials in Michigan City, Indiana
A 200,000-square-foot development with an additional 23 acres of storage capacity built for GAF Materials. Mohr Capital began construction in January 2020 and completed the building in November 2020, on time and on budget.
Crothall Healthcare in Gilroy, California
A 102,466-square-foot mission-critical facility for a Compass Group subsidiary providing state-of-the-art laundry processing services to Northern California hospital systems.
Retail Acquisitions, Dispositions and Redevelopment
The retail and hospitality sectors took the brunt of the pandemic’s blow on commercial real estate. Nationally, nearly half of commercial retail rents went unpaid in April and May. Despite this, a subsector of both retail and hospitality — fast food and fast-casual restaurants — thrived in 2020.
“Well-capitalized chains performed exceptionally well during the pandemic,” said Rob Solls, director of retail investments and acquisitions for Mohr Capital. “In 2020, Mohr Capital was able to source, acquire and sell high-quality retail real estate and attract best-in-class operators.”
Mohr Capital’s retail acquisitions, dispositions and redevelopments in 2020 include:
Regions Bank and Chipotle Mexican Grill in The Woodlands, Texas
A property acquisition for the redevelopment and construction of freestanding structures leased to Regions Bank and Chipotle Mexican Grill — both corporately guaranteed and operated.
Wendy’s in Scottsdale, Arizona
The sale of a fast-food restaurant property leased by Wendy’s in one of Phoenix’s most affluent suburbs. The location is corporate-guaranteed and a large franchisee-operated restaurant.
Chipotle Mexican Grill in Acworth, Georgia
A property acquisition and redevelopment for Chipotle Mexican Grill, Inc. Mohr will raze the existing building and deliver a pad site to Chipotle to develop one of its new format drive-thru restaurants.