Safehold Receives Credit Ratings Upgrade to A- from S&P Global Ratings
Rhea-AI Summary
Safehold (NYSE: SAFE) announced that S&P Global Ratings upgraded its corporate credit rating to A- from BBB+ on November 24, 2025, and assigned an A- rating with a stable outlook to its operating subsidiary Safehold GL Holdings LLC.
S&P cited Safehold's steady asset quality, business stability and the structural integrity of its ground leases despite stress in the commercial real estate sector. Management said the single-A ratings from all three major agencies should improve capital access and lower the company's cost of funds.
Positive
- S&P upgraded credit rating to A- from BBB+
- Operating subsidiary also assigned A- with a stable outlook
- Company reports single-A ratings from all three major agencies
- Management expects better capital access and lower cost of funds
Negative
- S&P noted ongoing stress in the commercial real estate sector
Insights
Safehold's upgrade to A- signals materially stronger creditworthiness and likely lower funding costs.
Safehold earned an upgrade to A- from S&P with a stable outlook on
The upgrade should improve access to capital and reduce borrowing costs for the company, benefiting its balance sheet and financing flexibility. Key dependencies include maintaining the cited asset quality and portfolio performance; any future deterioration in those metrics could reverse this benefit. Watch near-term funding actions and any changes in public disclosures over the next 12 months to confirm the durability of the upgrade.
"This ratings upgrade marks another significant milestone for Safehold's business, and we appreciate S&P's recognition of the strength of Safehold's credit profile, driven by our market leading position, high-quality portfolio of institutional ground leases and stable, long-term balance sheet," said Brett Asnas, Chief Financial Officer. "Receiving single-A ratings from all three major agencies speaks to the quality of Safehold's platform, and we expect these ratings to benefit both customers and shareholders in the form of better capital access and a lower cost of funds."
S&P cited the rationale behind the ratings upgrade in their report: "The upgrade follows Safehold's steady asset quality and business stability despite the stress in the CRE sector, which we believe demonstrates the structural integrity of the company's ground leases and differentiates it from other 'BBB+' rated companies."
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, 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.
Company Contact:
Pearse Hoffmann
Senior Vice President
Head of Corporate Finance
T 212.930.9400
E investors@safeholdinc.com
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SOURCE Safehold
FAQ
What credit rating did S&P give Safehold (SAFE) on November 24, 2025?
Did S&P assign a rating to Safehold's operating subsidiary on November 24, 2025?
How did S&P justify the A- upgrade for Safehold (SAFE)?
What does the S&P A- rating mean for Safehold shareholders and customers?
Are Safehold's ratings outlooks positive or stable after the upgrade?
