NEW YORK--(BUSINESS WIRE)--Safety, Income & Growth Inc. (NYSE: SAFE), the leading company focused on ground leases, announced it has acquired an existing ground lease on a recently-renovated 213-key Class A hotel along the Riverwalk in San Antonio, TX. Coinciding with the acquisition, SAFE will begin marketing its SAFE Ground Lease™ solution to the San Antonio metro area, offering real estate owners and operators more efficient capital that reduces risk, requires less upfront equity, and generates higher cash-on-cash returns.
This marks SAFE’s third ground lease in Texas and the first investment in San Antonio. The ground lease features fixed annual base rent escalations with a percentage rent component and a remaining lease term of approximately 83 years.
“We are excited to continue our growth in Texas and are equally excited to offer the San Antonio market efficient, value-enhancing capital through a SAFE Ground Lease™,” said Tim Doherty, Head of Ground Lease Investments.
The 12-story hotel sits along the Riverwalk with access to a network of connecting shops, restaurants, and notable tourist destinations including the Alamo, the Arneson River Theatre, and the Henry B. Gonzalez Convention Center. The property features premium amenities including a rooftop pool deck & lounge, 7,000 square feet of meeting space, and a fitness room. The hotel includes 8,000 square feet. of retail space including a coffee shop and a restaurant.
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.