Revenue & Earnings Growth

FY’ 20 FY’ 19 Y/Y Growth
Revenue $155.4m $93.4m +66%
Net Income (Gross of NCI) $59.5m $33.7m +76%
EPS (Diluted) $1.17 $0.89 +31%

Continued Customer Momentum

Following a market-wide slow down in Q2 and Q3 due to COVID-19, Safehold closed 13 ground lease transactions in Q4, the most of any quarter in our history.

Significant traction in the multifamily sector and an increase in regional diversification pushed Safehold’s year end portfolio to $3.2b.

x UCA Growth Since IPO

Capital Appreciation, A Growing Asset

As the creators of the modern ground lease industry, Safehold harnesses the power of compounding with a high-grade credit profile and makes the value of future exponential growth realizable today.

Safehold’s business generates value from its unique and growing rental stream and also generates value from a second component: the growing capital appreciation embedded in the portfolio. At $5.5b, the Unrealized Capital Appreciation (UCA)(1) in Safehold’s portfolio has grown over 12x since IPO.

  1. (1) SAFE relies in part on CBRE's appraisals of the Combined Property Value, or CPV, of our portfolio in calculating UCA. SAFE may utilize management’s estimate of CPV for ground lease investments recently acquired that CBRE has not yet appraised. For unfunded commitments on construction deals, CPV represents the cost to build inclusive of the ground lease. Please refer to our Current Report on Form 8-K filed with the SEC on February 11, 2021 and “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2020, as updated from time to time in our subsequent periodic reports, filed with the SEC, for a discussion of risk factors related to these calculations. The Company formed a wholly-owned subsidiary called “CARET” that is structured to track and capture UCA to the extent UCA is realized upon expiration of our ground leases, sale of our land and ground leases or other certain events. Under a shareholder approved plan, management has the right to participate in up to 15% of UCA under certain circumstances, subject to time-based vesting. See the Company’s 2020 proxy statement for additional information on the long-term incentive plan. Refer to the Glossary in the Appendix of SAFE’s Q4 2020 Earnings Presentation for definitions of Owned Residual Portfolio and Unrealized Capital Appreciation.

Investment Grade Credit Ratings

In early 2021, Safehold was awarded investment grade credit ratings by Moody’s and Fitch, reflecting the high-quality, long-duration nature of our portfolio and unlocking further growth potential in a $7+ trillion industry.

Safehold’s access to efficient, attractively priced capital is a key competitive advantage and enables the company to deliver customers lower-cost, longer-term, more efficient capital.


Moody’s Credit Rating Outlook: Stable
"Safehold has been making inroads modernizing ground leases in the U.S. in the market that has historically been somewhat underdeveloped and fragmented. Modernized ground leases' long-term nature as well as their substantial asset protection support Safehold's robust assets quality." – Moody’s Investors Services


Fitch Credit Rating Outlook: Stable
"The ratings reflect SAFE's focus on the relatively low-risk ground lease asset class, which is characterized by growing, long-dated revenue streams and significant overcollateralization, strong asset quality performance, consistent profitability, a scalable business model, low leverage, long-duration funding, solid dividend coverage, and the company's relationship with iStar Inc., which provides access to sponsor relationships and industry expertise." – Fitch Ratings

#1 Performing NAREIT Stock

Investors have continued to gravitate towards Safehold’s nationally-scaled platform and growing, diversified portfolio of modern ground leases. Safehold was the top-performing Nareit member stock for a second consecutive year (out of nearly 200 member companies), with an 82% total return in 2020 following a 118% return in 2019.

100% Ground Rent Received(2)

The well-protected nature of ground lease cash flows was evident in 2020 as Safehold received 100% of ground lease rent despite the challenging economic environment during the global pandemic.

  1. (2)Important Note re COVID-19: Readers are cautioned that, due to the possibility that the COVID-19 pandemic will have a delayed adverse impact on our financial results, along with the uncertainty created by the pandemic, our results for the period may not be indicative of future results. Similarly, our Ground Rent Coverage and UCA as of December 31, 2020 are likely to decline with respect to certain properties in future periods due to the continuing impact of the pandemic and the fact that certain metrics that we report and monitor may not reflect the full effects of the pandemic as of their dates of determination. Readers are urged to read our Annual Report on Form 10-K for the year ended December 31, 2020 filed with the SEC for a more fulsome discussion of our annual results, including the "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Risk Factors" sections included therein.

Positioned for Growth in 2021

Safehold is well positioned for the resurgence we expect as markets and the economy fully recover. We look forward to a brighter tomorrow for all.

$m Purchasing Power(3)
  1. (3)Assumes our target leverage of 2x debt to equity and calculated using cash and revolving credit facility availability of $233m without pledging any additional assets under the facility.