18 slides from Safehold Inc. New's earnings presentation, May 7, 2025
Slide 1: Q1’25 Earnings Results
Q1’25 Earnings Results
Slide 2: Q1’25 Summary
Q1’25 Summary Investment Activity1 Non-Binding LOIs (11 Ground Leases, 4 Leasehold Loans) Ground Lease Value ~$273m Leasehold Loan Value ~$113m Markets 8 Sponsors 11 GLTV2a ~34% Rent Coverage3a ~2.6x Economic Yielda ~7.3% Portfolio Metrics4 Capital Sources $6.8b / $8.9b 52% / 3.5x $1.3bb $400m6 (SAF
Slide 3: Portfolio Growth
Portfolio Growth Aggregate GBV (Ground Leases) Growing Multifamily Focus (Multifamily Asset Count) Estimated Unrealized Capital Appreciation 85 20x $8.9b Estimated UCA Growth since IPO 20x 31 Portfolio Growth since IPO5 $5.6b 1 $6.8b IPO Q1'21 Q1'25 (6/22/2017) $3.4b Total 12 76 147 $0.4b Asset Coun
Slide 4: Earnings Results
Earnings Results • Q1 GAAP Net Income and EPS decreased Y/Y primarily due to a $1.9m non-recurring loss in Q1’25 • EPS excluding non-recurring gains and losses increased ~$0.01 Y/Y o +$5.0m (+$0.07/sh): increase in asset-related revenue from investments less increase in interest expense primarily du
Slide 5: Portfolio Yields
Portfolio Yields (Core Ground Lease Portfolio Gross Book Value: $6.8b on 91-Year W.A. Lease Term w/ Ext.)8 GAAP Earnings Forward Yield-to-Maturity 3.7% + Non-Cash Rent & 5.4% + Variable rent 5.8% + Upside when 5.9% + Caret valuation 7.4% Adj. pickup10 inflation >2% Annualized Annualized Economic Inf
Slide 6: Portfolio Diversification
Portfolio Diversification Safehold primarily invests in the top 30 MSAs across the U.S., which we believe are positioned for long-term sustainable growth $6.8b Core Ground Lease Portfolio Top 10 Markets (% of GBV, Count, Rent Coverage3, GLTV2) (91-year w.a. extended lease term) 1. Manhattan (21%)a –
Slide 7: Capital Structure
Capital Structure Debt Overview Outstanding Hedges Unsecured Notes $2.2b Non-Recourse SOFR Swap (Revolver) Treasury Locks (Long-Term Debt)a Secured Notional: $500m Notional: $250m $1.5b Term: 5-years (ends April 2028) Rate: ~4.0% 30-year treasury Total Rate: ~3.0% SOFR Gain Position: ~$30m in-the-mo
Slide 8: Appendix
Appendix 8 Safehold | The Ground Lease Company | May 2025
Slide 9: Income Statement
APPENDIX Income Statement For the three months ended March 31, 2025 2024 Revenues: Interest income from sales-type leases $69,664 $63,218 Operating lease income 21,382 21,003 Interest income - related party 2,333 2,357 Other income 4,298 6,635 Total revenues $97,677 $93,213 Costs and expenses: Inter
Slide 10: Balance Sheet
APPENDIX Balance Sheet As of March 31, 2025 As of December 31, 2024 Assets: Net investment in sales-type leases $3,471,953 $3,454,953 Ground Lease receivables, net 1,854,395 1,833,398 Real estate: Real estate, at cost 740,971 740,971 Less: accumulated depreciation (47,935) (46,428) Real estate, net
Slide 11: Portfolio Reconciliation
APPENDIX Portfolio Reconciliation IPO (6/22/17) 3/31/21 3/31/22 3/31/23 3/31/24 3/31/25 Net investment in Sales-Type Leases - $1,312 $2,740 $3,140 $3,342 $3,472 Ground Lease receivables - 661 $1,017 $1,431 $1,661 $1,854 Pro-rata interest in Ground Leases held as - 346 $442 $446 $451 $456 equity meth
Slide 12: Earnings Reconciliation
APPENDIX Earnings Reconciliation For the three months ended March 31, 2025 2024 Net income (loss) attributable to Safehold Inc. common shareholders $29,364 $30,728 a Add: Non-recurring (gains) / losses 1,945 - Net income excluding non-recurring (gains) / losses $31,309 $30,728 Net income attributabl
Slide 13: Caret Timeline
APPENDIX Caret Timeline 2H’18: Feb’22: Nov’22: Formed a subsidiary called “Caret” designed to help recognize the value Outside investors participate in Series 3 participants from Series A round of the capital appreciation above Cost A roundb committed to Series B round under Basis. Employee performa
Slide 14: Caret Ownership
APPENDIX Caret Ownership In April 2024, the Series A Round was redeemed. It was settled with funds that were previously held in a restricted account; thus no impact to liquidity or revolver borrowings. SAFEHOLD (NYSE: SAFE) 100% ~84% GL Units Caret Units Rent Stream plus Original Cost Capital Apprec
Slide 15: Unrealized Capital Appreciation Details
APPENDIX Unrealized Capital Appreciation Details Refer to the Glossary in the Appendix for a definition of Owned Residual Portfolio, Unrealized Capital Appreciation (“UCA”), and “Combined Property Value” (“CPV”). SAFE relies in part on CBRE’s valuations of the CPV of our portfolio in calculating UCA
Slide 16: Glossary
APPENDIX Glossary Aggregate Cost Basis Represents Cost Basis plus unfunded commitments of the Core Ground Lease Portfolio. For unfunded commitments, it represents the aggregate future amount to be paid under the commitments. Aggregate Gross Book Value Represents the Gross Book Value plus unfunded co
Slide 17: Endnotes
APPENDIX Endnotes (1) Includes non-binding LOIs for investments that closed subsequent to quarter end. There were no closed investments in the first quarter. Non-binding LOIs assume 100% ownership. Final ownership percentage may be less than 100%. There can be no assurance that Safehold will close t
Slide 18: Forward-Looking Statements and Other Matters
Forward-Looking Statements and Other Matters This presentation may contain forward-looking statements. All statements other than statements of historical fact are forward-looking statements. These forward-looking statements can be identified by the use of words such as “illustrative”, “representativ