HISTORY
Master Development Corporation Performance
1995-2010: 7.0M S.F. / 179 Buildings / $700.0M Value
Bryan Bentrott co-founded Master Development Corporation (“MDC”) in 1995 with Bruce McDonald. His Real Estate experience is highlighted during a 15 year period from 1995-2010 when MDC constructed virtually every type of building within the industrial spectrum, from multi-tenant industrial parks to large warehouse/distribution buildings.
The primary capital sources for MDC investments were co-investment joint ventures with institutional partners including: State Teachers System of Ohio, Cigna, Buchanan Street Partners, G.E. Capital, Lincoln Delaware Investments and Aetna.
June 2010 – January 2013
MDC Merges with DEXUS Property Group
In June 2010, MDC made a strategic decision to merge its operating business with a large Sydney-based office/industrial REIT named DEXUS Property Group (“DEXUS”). DEXUS selected MDC to assume control of its $1.5B U.S. industrial portfolio after interviewing over 20 real estate firms on the West Coast. The merger of MDC/DEXUS combined the entrepreneurial talent of MDC with the financial resources of a $14.0B real estate giant.
The first order of business for the U.S. team was to stabilize and sell the DEXUS Central Portfolio (17.6M S.F in assets from Phoenix to the east coast). The goal was to use the proceeds from this sale for investment on the west coast. The DEXUS U.S. team, led by key MDC employees, commenced a focused asset management and leasing effort which increased occupancy in the Central Portfolio from 73% to 88% in less than twelve (12) months.
The U.S. team successfully executed the sale of the Central Portfolio to Blackstone in June 2012 for $770.0M. The result of this sale was loudly praised by DEXUS shareholders. The combination of this sale and a renewed focus on acquiring Australian office product led to the decision to sell the West Coast Portfolio.
In January 2013, the U.S. team completed the sale of the West Coast Portfolio (6.3M S.F. in 23 assets) to Heitman/NPS for $560.0M. This sale represented a significant premium to book value and lifted the value of the DEXUS REIT shares by $350.0M after the transaction was announced.
Summary of Major Accomplishments at DEXUS
• Approximately $1.5B of sales.
• $80.0M of new acquisitions in the first eighteen (18) months of operation valued at over $100M in the West Coast Portfolio Sale.
• Completed a $67.0M LEED certified freezer build-to-suit for Wal-Mart in Riverside, California. MDC/DEXUS completed the project in 10 months and delivered the building on time and on budget for the owner, USAA Real Estate Company. This building was subsequently sold for approximately $91M.
Summit Development Corporation
After re-opening MDC in March 2013, Bryan and Bruce in new directions elected to move as of year-end 2013. MDC is dissolving on an open, transparent basis and the owners remain friends as they embark on their new business endeavors.
Bryan Bentrott founded Summit Development Corporation to pursue smaller value-add acquisition opportunities and development sites in southern California.
