Safehold Secures $348M from Brookfield JV for Ground Lease Portfolio, Boosting Liquidity
SAFE sits 26% above its 52-week low of $12.76.
Summary
Safehold announced a joint venture with a Brookfield affiliate for a diversified ground lease portfolio, with Brookfield purchasing a 49% non-controlling interest for approximately $348 million. The transaction values the contributed portfolio at roughly $710 million and provides Safehold with significant capital. Proceeds will be used for debt repayment and general corporate purposes, which the CFO noted will de-leverage the balance sheet and increase liquidity for new investments. This partnership with a major institutional investor like Brookfield also serves as a strong validation of the ground lease asset class and Safehold's business model.
At the time of this announcement, SAFE was trading at $16.09 on NYSE in the Real Estate & Construction sector, with a market capitalization of approximately $1.2B. The 52-week trading range was $12.76 to $17.16. This news item was assessed with positive market sentiment and an importance score of 9 out of 10. Source: PR Newswire.