AP NEWS

Safety, Income & Growth Closes $79 Million Non-Recourse Senior Secured Term Loan

November 13, 2018

NEW YORK--(BUSINESS WIRE)--Nov 13, 2018--Safety, Income & Growth Inc. (NYSE:SAFE), the leading company focused on ground leases, announced today that it has closed on a new $79 million non-recourse senior secured term loan with a life insurance company. The loan matures in 2028.

The innovative term loan structure was custom-tailored to meet the unique features of SAFE’s ground lease portfolio with an initial spread of T+86 and an all-in cost equal to T+120. The loan is interest-only for its entire 10-year term, is collateralized by seven ground leases and represents a 60% advance rate against SAFE’s investment basis in the collateral. In addition, the loan provides for asset addition and substitution flexibility within specified parameters.

“This financing represents another attractive long-term financing source for our business. Furthermore, the loan has an accordion feature that provides for potential increases in the loan size as we originate new ground lease investments,” said Andrew Richardson, Chief Financial Officer.

Safety, Income & Growth Inc. (NYSE:SAFE) is the first publicly traded company focused on ground leases. The Company seeks to provide real estate owners with better, lower cost capital through its modern ground lease structure, while delivering safe, growing income and long-term capital appreciation to its shareholders. The Company targets major markets throughout the United States, helping owners of high quality multifamily, office, industrial, hospitality and mixed use properties ranging from $25 million to $1 billion generate higher returns with less risk. The Company, which is taxed as a real estate investment trust (REIT), is managed by its largest shareholder, iStar Inc. Additional information on SAFE is available on its website at www.safetyincomegrowth.com.

View source version on businesswire.com:https://www.businesswire.com/news/home/20181113006093/en/

CONTACT: Capital Markets:

Safety, Income & Growth Inc.

Brett Asnas, 212-930-9498

Senior Vice President

Head of Capital Markets

basnas@istar.com

or

Investor Relations:

Safety, Income & Growth Inc.

Jason Fooks, 212-930-9400

Vice President, Investor Relations & Marketing

investors@safetyincomegrowth.com

KEYWORD: UNITED STATES NORTH AMERICA NEW YORK

INDUSTRY KEYWORD: PROFESSIONAL SERVICES REIT BANKING FINANCE CONSTRUCTION & PROPERTY COMMERCIAL BUILDING & REAL ESTATE

SOURCE: Safety, Income & Growth Inc.

Copyright Business Wire 2018.

PUB: 11/13/2018 04:30 PM/DISC: 11/13/2018 04:30 PM

http://www.businesswire.com/news/home/20181113006093/en

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