1111 Pennsylvania Ave // WASHINGTON, DC
In 2018, Safehold originated a new $150 million ground lease on a trophy office building located on Pennsylvania Avenue in Washington D.C.
Needing a better and more efficient capital solution, our institutional customer utilized a Safehold™ ground lease to help acquire a Class-A 14-story office building centrally-located directly between the White House and the Capitol Building. Relative to alternative fee simple financing options, Safehold’s ground lease capital solution helped create a competitive advantage and enabled our customer to win this coveted asset.
With a core location in a gateway market, the transaction signaled that Safehold can deliver its value-enhancing product to customers on the highest quality properties around the country.
MULTIFAMILY DEVELOPMENT // WASHINGTON, DC
A 300-unit, to-be-built mid-rise multifamily property in Washington, D.C.’s Southwest Waterfront submarket. Safehold executed a forward commitment to purchase the ground lease and fund additional proceeds to complete construction.
A repeat customer utilized a $30 million Safehold™ ground lease for a new multifamily construction project, less than a mile from a previously executed Safehold™ ground lease. Seeking more capital at a better rate and the flexibility of funding throughout the development life cycle, our customer was able to benefit from a structure that was favorable for both the equity and leasehold lender.
The deal demonstrated the versatility of Safehold’s ground lease product as a mechanism to provide capital for development and the ability to custom-tailor our Safehold structure to meet the specific needs of the developer.
ADMIRAL CAPITAL GROUP // PHOENIX & SAN DIEGO
A private real estate investor in value-add assets across the U.S., Admiral Capital Group has utilized Safehold™ ground leases in five separate transactions, two in 2018 and three in 2019.
Seeking to generate better cash-on-cash returns, Admiral Capital Group followed up two previous deals with another three transactions. The investments were made out of Admiral Capital Group's newly launched core-plus fund. With a more efficient capital structure, enhanced returns and minimized risk, repeat customers like Admiral Capital Group are gravitating towards the capital advantage Safehold provides in a competitive marketplace.
To date, Admiral Capital Group has utilized a Safehold™ ground lease to close the acquisitions of well-located office properties in the Dallas, Phoenix, Philadelphia and San Diego MSAs.
NOVEL MUSIC ROW // NASHVILLE, TN
A new ground lease on a recently-constructed 275-unit Class A multifamily building in the Music Row submarket of Nashville.
Seeking low cost, low risk capital to help fund the acquisition of an existing mid-rise multifamily, The Dinerstein Companies utilized a Safehold™ ground lease just months after successfully completing a transaction in Orlando, FL. The Safehold™ ground lease enabled The Dinerstein Companies to achieve value-add returns on a core asset with less equity required.
As the first Safehold™ ground lease completed in the Nashville market and the second completed with The Dinerstein Companies, Safehold added another repeat customer while expanding into an attractive new market with significant long-term growth prospects.
