Safehold Closes Affordable Housing Ground Lease in San Antonio, Texas

San Antonio LIHTC ground lease marks Safehold’s first affordable project in the city and its third in Texas this year.

Rhea-AI Summary

Safehold (SAFE) has closed a ground lease for a new Affordable Housing community in San Antonio, Texas. The Low-Income Housing Tax Credit development, to be built by repeat partner The NRP Group, is planned to deliver 336 units in 2028 in southeast San Antonio, an area described as experiencing strong population and job growth.

The project will be supported by tax credit equity from Wells Fargo and is Safehold's first Affordable Housing development in San Antonio and third in Texas this year. Through its Affordable Housing platform, Safehold focuses on new construction LIHTC projects where its long-term, low-cost ground leases are used to help bridge capital structure gaps. To date, Safehold has closed 28 ground leases supporting Affordable Housing developments across the United States.

Market Context

A comparable 0.32% 24-hour decline followed Safehold’s Jun 25 Austin ground lease with The NRP Group...

Analysis

A comparable 0.32% 24-hour decline followed Safehold’s Jun 25 Austin ground lease with The NRP Group; the current San Antonio transaction again involved NRP and a 336-unit LIHTC development.

Key Figures

Total units: 336 units Expected delivery: 2028 Texas affordable housing leases: 3 ground leases +1 more

Total units

336 units

San Antonio affordable housing development

Expected delivery

2028

San Antonio development

Texas affordable housing leases

3 ground leases

Closed across Texas in 2026

Total affordable housing leases

28 ground leases

Closed throughout the United States to date

Historical Context

1 past event · Latest: Jun 25

1 event

1. Jun 25

   Affordable housing lease

   24h Move

   -0.3%

   Safehold closed a 336-unit Texas LIHTC ground lease with repeat partner The NRP Group

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

ground lease, low-income housing tax credit, lihtc, reit, +1 more

5 terms

ground lease financial

"has closed on a ground lease for the development of an Affordable Housing community"

A ground lease is a long-term agreement where someone rents land from the owner, often for many decades. The person renting can build on or develop the land, but they don’t own it outright; the land remains owned by someone else. This matters because it affects how property is used and who benefits from its future value.

low-income housing tax credit financial

"The Low-Income Housing Tax Credit development will provide 336 total units"

A low-income housing tax credit is a government incentive that gives a dollar-for-dollar reduction in federal taxes to people or firms that invest money into building or renovating rental housing for lower-income renters. Think of it like buying a tax coupon that helps fund affordable apartments: investors put up capital in exchange for steady rental income and a predictable cut in the taxes they owe, making these projects more financially attractive and lowering risk for lenders and investors.

lihtc financial

"new construction LIHTC developments where its long-term, low-cost ground lease"

A Low-Income Housing Tax Credit (LIHTC) is a U.S. federal tax incentive that gives a dollar-for-dollar reduction in taxes to investors who fund the construction or rehabilitation of affordable rental housing. Think of it like a valuable coupon investors buy into: it lowers their tax bill in exchange for financing apartments reserved for lower-income tenants. For investors, LIHTC changes a project’s cash flow, risk profile and potential return because much of the economic value comes from the tax benefit rather than rent alone.

reit financial

"The Company, which is taxed as a real estate investment trust (REIT)"

A real estate investment trust (REIT) is a company that owns, operates, or finances income-producing real estate, like shopping centers, apartments, or office buildings. For investors, REITs offer a way to invest in real estate without having to buy property directly, often providing regular income through dividends. They function like a mutual fund for real estate, making it easier for people to add property investments to their portfolio.

tax credit equity financial

"It will be supported by tax credit equity from Wells Fargo"

An arrangement where investors provide capital to a project in exchange for government-issued tax credits that lower the investor’s future tax bill. Think of it like buying a voucher that offsets taxes owed; investors accept some project risk in return for those predictable tax savings. It matters because those credits change the after-tax return and cash needs of an investment, influence project financing, and can make otherwise costly ventures financially viable.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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NEW YORK, Sept. 8, 2026 /PRNewswire/ -- Safehold Inc. (NYSE: SAFE), the creator and leader of the modern ground lease industry, has closed on a ground lease for the development of an Affordable Housing community in San Antonio, Texas. The Low-Income Housing Tax Credit development will provide 336 total units upon delivery in 2028. The project will be developed by The NRP Group, one of the most active developers of Affordable Housing in the United States and a repeat Safehold customer.

"This is a high-quality development in a growing San Antonio market, and we're pleased to partner again with The NRP Group while continuing to expand Safehold's Affordable Housing platform and presence across Texas," said Steve Wylder, Safehold's Head of Investments.

The transaction represents Safehold's first Affordable Housing development in San Antonio, and third across Texas this year. The project is located in southeast San Antonio, within a growing residential core driven by robust population and job growth. It will be supported by tax credit equity from Wells Fargo. 

Through its Affordable Housing platform, Safehold has continued to expand its commitment to the Affordable sector, specifically new construction LIHTC developments where its long-term, low-cost ground lease helps to bridge capital structure gaps and move projects forward. To date, Safehold has closed 28 ground leases to support the development of Affordable Housing transactions throughout the United States. Additional information is available at www.safeholdaffordablehousing.com. 

About Safehold:

Safehold Inc. (NYSE: SAFE) is revolutionizing real estate ownership by providing a new and better way for owners to unlock the value of the land beneath their buildings. Having created the modern ground lease industry in 2017, Safehold continues to help owners of high quality multifamily, affordable housing, office, industrial, hospitality, student housing, life science and mixed-use properties generate higher returns with less risk. The Company, which is taxed as a real estate investment trust (REIT), seeks to deliver safe, growing income and long-term capital appreciation to its shareholders. Additional information on Safehold is available on its website at www.safeholdinc.com.

About The NRP Group:

The NRP Group is a vertically integrated developer, owner, builder, and manager of best-in-class multifamily housing with a mission to create exceptional rental housing communities for individuals and families, regardless of income. Since its founding in 1994, NRP has developed more than 68,000 apartment homes and currently manages over 33,000 residential units. Through its disciplined approach to vetting opportunities, NRP has established a track record of delivering impressive returns for investors. The company's formidable size and depth of talent provide the experience and infrastructure necessary to execute developments of varying degrees of complexity and scope in both urban-infill and suburban locations, including market-rate, affordable, mixed-income, and senior housing. The NRP Group has been consistently named a largest developer and builder in the U.S. on the NMHC "Top 50" lists, the Top 5 on the Multi-Housing News' "Top Multifamily Developers" list, named a Top Affordable Housing Developer by Affordable Housing Finance, and is a five-time recipient of NAHB's Best Multifamily Development Firm of the Year award. The NRP Group has become the top multifamily developer in the U.S. that creates both affordable and market-rate housing at a national scale. Based on over 30 years of experience and expertise, NRP provides construction and property management services to outside owners and developers. For additional information, visit www.nrpgroup.com.

Transaction Contacts:  Steve Wylder Head of Investments T: 310.315.5566 E: swylder@safeholdinc.com	IR Contact: Pearse Hoffmann SVP, Head of Corporate Finance T: 212.930.9400 E: investors@safeholdinc.com
Michael Mancini Vice President, Investments T: 212.930.9471 E: mmancini@safeholdinc.com

 

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SOURCE Safehold