Land Owner Joint Ventures

MDC continues to look for opportunistic development/acquisitions in Southern California. We prefer minimum 5 acre sites which can be acquired at less than “full retail value”. To accomplish this goal, we will consider landowner joint ventures, sites that present entitlement and/or planning challenges, and deals which require a quick closing time frame. We generally prefer developing buildings in the 10,000 to 150,000 square foot size ranges which can be offered for sale or lease. Also, as is our custom, we offer “back-side” listing opportunities to the brokerage company responsible for helping us acquire a property.

MDC has successfully developed and created several joint ventures. The largest of these is a three-phase development known as Thoroughbred Business Park in Ontario, California. This project is comprised of 11 buildings totaling 2,000,000 square feet on 100 acres.

The joint venture features for industrial properties are:
1. Land owned with little debt, and
2. The product can be developed for long term hold or sale.

For office properties, features are
1. Land gets contributed at a “fair” value and landowner participates in value creation process, and
2. MDC shields landowner from any liability beyond the initial land contribution.