Safehold Announces Two Ground Leases for Affordable Housing in California

Safehold Expands Affordable Housing Footprint in California

In a strategic move to bolster the affordable housing sector, Safehold Inc. (NYSE: SAFE), a pioneer in the modern ground lease industry, has successfully closed on two ground leases in California this June. These leases are aimed at the development of affordable housing communities that are expected to yield a total of 570 housing units upon completion. The planned developments are located in the Simi Valley area of Ventura County and the San Ysidro area in San Diego County.

Both projects are being developed by The Pacific Companies, which is recognized as one of the most active developers in the arena of affordable housing in the United States. This partnership marks yet another collaboration between Safehold and The Pacific Companies, highlighting their ongoing commitment to addressing the significant housing needs in California.

Steve Wylder, Safehold's Head of Investments, expressed enthusiasm about the company’s expanding relationship with The Pacific Companies. He noted, "We're thrilled to expand our relationship with The Pacific Companies, as we continue to grow Safehold's focus on the Affordable Housing sector. Our efforts have resulted in over 25 ground leases on Low-Income Housing Tax Credit (LIHTC) developments across California, demonstrating a significant response to the high unmet demand for quality affordable housing."

The projects are being backed by tax credit equity from prominent banking institutions, namely U.S. Bank and Wells Fargo. Wylder emphasized the importance of positioning Safehold’s capital as a flexible tool designed to address gaps in capital structure and to substantially advance projects. He added, "It's exciting to witness the increasing acceptance and utilization of the ground lease model among developers and their financing sources."

For more insights into Safehold's initiatives in the affordable housing landscape, interested parties can visit their dedicated site at Safehold Affordable Housing.

About Safehold Inc.

Safehold Inc. is at the forefront of transforming real estate ownership through innovative ground lease solutions. Since establishing the modern ground lease industry in 2017, Safehold has been instrumental in helping property owners across various sectors—including multifamily, affordable housing, office space, and mixed-use properties—unlock the potential value of their land. The company is structured as a real estate investment trust (REIT), aiming to provide its shareholders with a blend of stable income and long-term capital growth.

As Safehold champions the cause for affordable housing, its recent initiatives underscore a significant commitment to social responsibility and community development in one of the most vital sectors of the economy. With the closing of these two ground leases, Safehold is not just creating housing; it's fostering communities and driving progress in addressing the critical challenges of affordable living in California.

For more detailed information about the company's vision and ongoing projects, visit Safehold Inc..