SAFEHOLD CLOSES $45 MILLION GROUND LEASE FOR 256-UNIT AFFORDABLE HOUSING DEVELOPMENT IN SANTA CRUZ

Safehold Inc. has closed a $45 million ground lease for the development of a 256-unit affordable housing community in the Soquel area of Santa Cruz, California. The Low-Income Housing Tax Credit development is being developed by The Pacific Companies and is expected to be delivered in 2028. Wells Fargo and Citi Community Capital are providing construction financing and tax credit equity, while Citi is also providing permanent financing. The transaction represents Safehold's second recent affordable housing ground lease in the Santa Cruz area as the company expands its ground lease platform within the affordable housing sector.