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Safehold Inc. (SAFE+0.80%) has submitted its Form 10-K filing for the fiscal year ended December 31, 2024.
The filing details Safehold's business operations, focusing on acquiring, managing, and capitalizing ground leases. The company operates through one reportable segment and is a publicly traded real estate investment trust (REIT).
During the fiscal year, Safehold reported total revenues of $365.7 million, an increase from $352.6 million in the previous year. This increase was primarily driven by higher interest income from sales-type leases.
Interest expense increased to $198.0 million from $181.0 million, reflecting additional borrowings and higher interest rates. General and administrative expenses decreased to $54.9 million from $68.6 million, partly due to lower stock-based compensation costs.
The company recorded a net income of $106.6 million, compared to a net loss of $54.6 million in the previous year. The turnaround was aided by the absence of goodwill impairment charges, which had impacted the prior year's results.
Safehold's portfolio includes various property types, with a significant presence in multifamily and office sectors. The company's ground leases feature contractual rent escalations and percentage rent participations.
The filing also highlights the company's strategic initiatives, including the completion of a merger with iStar Inc., which was accounted for as a business combination. The merger resulted in the recognition of goodwill, which was subsequently impaired.
Safehold continues to focus on expanding its portfolio through acquisitions and joint ventures, targeting ground lease investments with specific criteria for property value and lease terms.
The company maintains a strong liquidity position, supported by cash flows from operations, credit facilities, and capital market activities. Safehold's debt obligations include both secured and unsecured financing, with varying maturities and interest rates.
Safehold's financial strategy involves leveraging its investment-grade credit ratings to optimize its capital structure and support future growth.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Safehold Inc. annual 10-K report dated February 6, 2025. To report an error, please email earnings@qz.com.