Safehold Closes Two Affordable Housing Ground Leases in California

Safehold (NYSE:SAFE) closed ground leases for two affordable housing communities in Santa Cruz and Santa Clarita, California.

Rhea-AI Summary

Safehold (NYSE:SAFE) closed ground leases for two affordable housing communities in Santa Cruz and Santa Clarita, California. The Low-Income Housing Tax Credit projects, developed by CRP Affordable Housing & Community Development, will provide 211 units with expected delivery in 2028.

Citi Community Capital is providing construction and permanent financing on both projects.

Positive

• Closed two California affordable housing ground leases with 211 total units
• Adds new customer relationship with CRP Affordable Housing & Community Development
• Projects fully financed with construction and permanent loans from Citi Community Capital

Negative

• None.

Argus May 20 session

+3.09% close to close Open Argus

Details

News Market Reaction – SAFE

In the May 20 session, SAFE gained 3.09%, reflecting a moderate positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

Market Context

This announcement highlights SAFE’s continued build-out of its affordable housing ground lease platf...

Analysis

This announcement highlights SAFE’s continued build-out of its affordable housing ground lease platform, adding 2 California Low-Income Tax Credit projects totaling 211 units for delivery in 2028. It follows earlier portfolio growth and sits alongside an effective universal shelf and a recently expanded equity incentive plan. Investors may watch how additional ground lease originations translate into revenue growth, portfolio scale, and capital needs under the shelf over time.

Key Figures

Affordable projects: 2 communities Affordable units: 211 units Delivery year: 2028

Affordable projects

2 communities

New California ground leases in Santa Cruz and Santa Clarita

Affordable units

211 units

Total units from the two Low-Income Tax Credit developments

Delivery year

2028

Expected completion for the two California communities

Historical Context

5 past events · Latest: May 08

5 events

1. May 08

   Earnings results

   24h Move

   +0.5%

   Star Holdings reported a quarterly net loss tied partly to SAFE exposure.

2. Apr 30

   Quarterly earnings

   24h Move

   -7.2%

   SAFE posted higher revenue and originations with sizeable unrealized capital appreciation.

3. Apr 22

   Earnings schedule

   24h Move

   +1.8%

   Company announced date and webcast details for its Q1 2026 earnings release.

4. Mar 13

   Dividend declaration

   24h Move

   -1.4%

   Declared Q1 2026 common dividend with an annualized rate of $0.708 per share.

5. Mar 10

   Affordable housing deal

   24h Move

   -1.9%

   Closed 20th affordable housing ground lease and first such transaction in Texas.

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

Key Terms

ground lease, construction and permanent financing, reit

3 terms

ground lease financial

"Safehold Inc. ... has closed on ground leases for the development of two Affordable Housing communities"

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.

construction and permanent financing financial

"Citi Community Capital provided construction and permanent financing on both projects."

A two-stage financing approach where a short-term loan funds the building phase and is replaced by a long-term mortgage once the project is finished and income is stable. Think of it as a bridge loan that pays to build and a homeowner mortgage that takes over when the property can reliably generate rent or sales; investors care because the switch affects project risk, cash flow, interest costs and the chance of needing to refinance on different terms.

reit financial

"The Company, which is taxed as a real estate investment trust (REIT), seeks to deliver safe, growing income"

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.

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

See more from StockTitan in Google Search and AI answers. Adds StockTitan as a preferred source · opens Google

Add on Google Not now

NEW YORK, May 19, 2026 /PRNewswire/ -- Safehold Inc. (NYSE: SAFE), the creator and leader of the modern ground lease industry, has closed on ground leases for the development of two Affordable Housing communities in Santa Cruz and Santa Clarita, California. Santa Cruz is a vibrant coastal community located along the Monterey Bay, while Santa Clarita is a fast-growing city in northern Los Angeles County. The projects will be developed by CRP Affordable Housing & Community Development, an experienced development firm and a new Safehold customer.

"We're thrilled to establish a relationship with CRP and support the creation of high-quality residential communities in markets that need affordable housing," said Steve Wylder, Safehold's Head of Investments.

The Low-Income Tax Credit developments will provide a total of 211 units upon delivery in 2028. Citi Community Capital provided construction and permanent financing on both projects.

"We've continued to expand our investment into and support of the Affordable Housing industry," Wylder added. "We're pleased our ground lease capital was helpful in CRP's efforts to move these projects forward."

Additional information on Safehold's Affordable Housing platform 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.

Transaction Contacts: Steve Wylder Head of Investments T: 310.315.5566 E: swylder@safeholdinc.com   Michael Mancini Vice President, Investments T: 212.930.9471 E: mmancini@safeholdinc.com

IR Contact:   Pearse Hoffmann SVP, Head of Corporate Finance T: 212.930.9400 E: investors@safeholdinc.com

 

View original content to download multimedia:https://www.prnewswire.com/news-releases/safehold-closes-two-affordable-housing-ground-leases-in-california-302776650.html

SOURCE Safehold

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What did Safehold (NYSE:SAFE) announce on May 19, 2026?

Safehold announced it closed ground leases for two affordable housing communities in California. According to Safehold, the projects are in Santa Cruz and Santa Clarita and will be developed using Low-Income Housing Tax Credits with dedicated construction and permanent financing.

How many affordable housing units will Safehold's new California projects include?

The two new California affordable housing projects will include a combined 211 units. According to Safehold, these units will be delivered as part of Low-Income Housing Tax Credit developments scheduled for completion in 2028, supporting housing needs in Santa Cruz and Santa Clarita.

Who is developing Safehold's affordable housing communities in Santa Cruz and Santa Clarita?

CRP Affordable Housing & Community Development is developing both communities. According to Safehold, CRP is an experienced affordable housing developer and a new customer, partnering with Safehold’s ground lease capital to advance the Santa Cruz and Santa Clarita projects toward a planned 2028 delivery.

When are Safehold's new affordable housing communities expected to be completed?

The affordable housing communities are expected to be delivered in 2028. According to Safehold, the Santa Cruz and Santa Clarita developments are Low-Income Housing Tax Credit projects, with ground leases now closed and construction and permanent financing provided by Citi Community Capital.

How do the new California ground leases support Safehold's affordable housing strategy (SAFE)?

The new ground leases expand Safehold’s investment in affordable housing. According to Safehold, partnering with CRP Affordable Housing & Community Development and using ground lease capital helps advance 211 LIHTC units, supporting its goal of delivering safe, growing income from diverse property types.

Who is providing financing for Safehold's Santa Cruz and Santa Clarita affordable housing projects?

Citi Community Capital is providing both construction and permanent financing for the projects. According to Safehold, this financing supports the Low-Income Housing Tax Credit developments in Santa Cruz and Santa Clarita, which are structured on Safehold ground leases and target delivery in 2028.