DML Capital’s growing Texas presence fueled by pivotal deals

Based in Houston, private equity company DML Capital has quickly gained momentum as a leading commercial real estate player throughout Texas.

Since tapping JLL’s Private Capital experts in 2021 to help with big investment plans, the company’s leadership has seen their portfolio and net operating incomes rapidly increase. As a testament to its growing market influence, DML has completed a number of significant deals in Houston’s retail and office markets in recent years.

Today, DML controls a portfolio totaling more than $300 million. JLL has served as a key partner in these transactions and other pivotal deals for DML and continues to work closely with the company’s principals.

Noteworthy deals to date include the buyer representation and acquisition financing for the Aldi-anchored Shoppes at Kingsgate in Kingwood, the seller representation and acquisition financing for the Offices at Kensington in Sugar Land, and the disposition of a retail space leased to Origin Bank in Houston.

JLL Senior Director John Indelli first met with the three principals of DML—Sajjid Dawood, Saleem Lakhani, and Anil Mohammed—in January 2018. DML controlled about $70 million of real estate assets at the time. Indelli understood that they had a strong desire to grow their portfolio and saw DML’s clear ability to perform.

DML and JLL closed the first deal, the purchase of a retail center near NRG Stadium, in 2021. We have completed another 20 transactions together over the past three years, a period in which DML’s holdings doubled.

DML broadened its portfolio in February 2024 with the addition of the Offices at Kensington, the company’s first office property acquisition. The two-building asset totals 171,000 square feet of space on 9.5 acres in the heart of Sugar Land. JLL procured life insurance financing for the acquisition. Expertise in the office sector gives DML another avenue to grow its asset base and offer investors favorable risk-adjusted returns.

The Shoppes at Kingsgate, which DML acquired in 2023, is located in the master-planned Kingwood community and is anchored by Aldi—one of the fastest-growing retailers in America. The 156,343-square-foot retail center is more than 95% occupied.

Working closely with JLL’s team of experienced advisors, DML developed a comprehensive strategy to bring the company’s investment plans to the next level. We saw their vision and responded with a tailored approach focused on identifying properties with strong potential for value appreciation and stable cash flow.

JLL’s Michael Johnson and Michael King held several meetings with DML’s team in Houston, and identified assets within their portfolio that were ripe for refinancing. The refinancing deals helped establish deep relationships with some of Houston’s most active lenders, including a local credit union and a national life insurance firm. These strong relationships have made additional financing transactions increasingly streamlined for DML and the lenders.

Our Private Capital team successfully met DML’s strict criteria when it came to finding the right location and tenant mix with enough growth potential. Our first deal together, a 25,000-square-foot retail property, laid the groundwork for a long-standing partnership.

The collaboration between DML and JLL has led to substantial growth for the company over the past three years. Building on the success of the first deal, DML continues to expand its portfolio. 

These transactions underscore JLL’s active involvement in helping fuel DML’s success as a buyer, seller, and borrower in today’s competitive market environment. Relationship-driven teamwork has helped bolster DML’s investment strategy, ensuring each deal remains aligned with the company’s long-term growth plans.

The partnership between DML Capital and JLL remains strong as we explore new investment opportunities and new ways to unlock the full potential of the private equity company’s portfolio.