NEW YORK--(BUSINESS WIRE)--
Safety, Income & Growth Inc. (NYSE: SAFE), the leading company focused
on ground leases, announced that over the past month it has completed
five new ground lease investments with institutional partners and
leasehold lenders for $105 million of committed capital in three major
metro areas across three property types. SAFE’s portfolio consists of
more than $700 million of ground leases.
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Jefferson Building (Photo: Business Wire)
“We launched Safety, Income & Growth with the clear vision to
re-engineer the outdated ground lease structure and materially improve
the traditional real estate ownership model. To accomplish this, we
created a business predicated on offering clients a new and efficient
way to access low-cost capital to increase their returns,” Chairman and
Chief Executive Officer Jay Sugarman explained. “These recent deals
continue our growing momentum and we look forward to making further
progress this year in reaching our $1 billion portfolio goal.”
This group of transactions reflect the robust versatility of SAFE’s
platform, including a ground lease structured to provide acquisition
capital for an existing building and a ground lease to provide capital
for development. As a result of these investments, the Company has
enhanced its geographic diversity with its first deal in Phoenix and
increased its presence in Washington, D.C. and San Diego.
Four investments were Company originated SAFE Ground Leases™:
-
Jefferson Building (Washington, D.C.): 73,000 sq. ft.,
eight-story office building located less than a mile from the White
House in the Golden Triangle submarket, with close proximity to four
Metrorail stations, numerous hotels, shops, and attractions.
-
The Madison (Phoenix, AZ): 177,000 sq. ft. Class A office
property in the Camelback Corridor with quick access to 51 Freeway.
The property has recently undergone a major renovation with upgrades
to the lobbies, corridors, and exterior.
-
Balboa Executive Center (San Diego, CA): 121,000 sq. ft. Class
A office building near the I-15 freeway. The property has recently
undergone significant renovations to its lobby, corridors, landscaping
and fitness center.
-
Southwest Waterfront (Washington, D.C.): 300+-unit, to-be-built
mid-rise multifamily property in Washington D.C.’s Southwest
submarket. SAFE executed a forward commitment to purchase the ground
lease and fund additional proceeds to complete construction.
One investment was an acquisition of an existing ground lease:
-
Hyatt Centric (Washington, D.C. Metro Area): Existing ground
lease on a 318-key, 16-story Hyatt branded hotel. The property is
located across the street from the Rosslyn Metrorail station, with
access to three different metro lines.
Safety, Income & Growth Inc. (NYSE: SAFE) is the first publicly traded
company that focuses on acquiring, owning, managing and capitalizing
ground leases. The Company seeks to provide safe, growing income and
capital appreciation to shareholders by building a diversified portfolio
of high quality ground leases. 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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Safety, Income & Growth Inc.
Tim Doherty, 212-930-9433
Executive
Vice President
Head of Ground Lease Investments
tdoherty@istar.com
or
Investor
Relations:
Jason Fooks, 212-930-9400
Vice President
Investor
Relations & Marketing
investors@safetyincomegrowth.com
Source: Safety, Income & Growth Inc.