NEW YORK, June 23, 2026 /PRNewswire/ — Safehold Inc. (NYSE: SAFE), the creator and leader of the modern ground lease industry, has closed on a $45 million ground lease for the development of an Affordable Housing community in the Soquel area of Santa Cruz, California. Santa Cruz is a vibrant coastal community located along the Monterey Bay, with significant unmet demand for high quality Affordable Housing. The project will be developed by The Pacific Companies, a prolific development firm and repeat Safehold customer.
“This is a high-quality, large-scale community in a high-cost coastal submarket with significant unmet demand for Affordable Housing,” said Steve Wylder, Safehold’s Head of Investments. “We’re excited to expand our relationship with The Pacific Companies and are pleased our ground lease capital could play a role in helping to deliver this project.”
The Low-Income Housing Tax Credit development will provide a total of 256 units upon delivery in 2028. Wells Fargo and Citi Community Capital provided both construction financing and tax credit equity, with Citi providing permanent financing for the project. The project represents Safehold’s second recent Affordable Housing ground lease in the Santa Cruz area and is part of a broader effort to expand the firm’s focus on the Affordable sector.
“We’re positioning our capital as a tool to help move these projects forward,” Wylder added. “In the face of elevated rates and stubbornly high construction costs, our structure can help fill capital structure gaps and deliver much needed Affordable Housing.”
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.
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Transaction Contacts: Steve Wylder Head of Investments
Vice President, Investments |
IR Contact: Pearse Hoffmann SVP, Head of Corporate Finance |
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SOURCE Safehold
