NEW YORK--(BUSINESS WIRE)--
Safety, Income & Growth Inc. (NYSE:SAFE), the leading company focused on
ground leases, announced today that it has closed on a new $79 million
non-recourse senior secured term loan with a life insurance company. The
loan matures in 2028.
The innovative term loan structure was custom-tailored to meet the
unique features of SAFE’s ground lease portfolio with an initial spread
of T+86 and an all-in cost equal to T+120. The loan is interest-only for
its entire 10-year term, is collateralized by seven ground leases and
represents a 60% advance rate against SAFE’s investment basis in the
collateral. In addition, the loan provides for asset addition and
substitution flexibility within specified parameters.
“This financing represents another attractive long-term financing source
for our business. Furthermore, the loan has an accordion feature that
provides for potential increases in the loan size as we originate new
ground lease investments,” said Andrew Richardson, Chief Financial
Officer.
Safety, Income & Growth Inc. (NYSE:SAFE) is the first publicly traded
company focused on ground leases. The Company seeks to provide real
estate owners with better, lower cost capital through its modern ground
lease structure, while delivering safe, growing income and long-term
capital appreciation to its shareholders. The Company targets major
markets throughout the United States, helping owners of high quality
multifamily, office, industrial, hospitality and mixed use properties
ranging from $25 million to $1 billion generate higher returns with less
risk. The Company, which is taxed as a real estate investment trust
(REIT), is managed by its largest shareholder, iStar Inc. Additional
information on SAFE is available on its website at www.safetyincomegrowth.com.
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Capital Markets:
Safety, Income & Growth Inc.
Brett
Asnas, 212-930-9498
Senior Vice President
Head of Capital
Markets
basnas@istar.com
or
Investor
Relations:
Safety, Income & Growth Inc.
Jason
Fooks, 212-930-9400
Vice President, Investor Relations &
Marketing
investors@safetyincomegrowth.com
Source: Safety, Income & Growth Inc.