$SAFE

ISTAR FINANCIAL INC

CIK:0001095651|SEC Filings

Consolidated Statements of Operations - USD ($)
shares in Thousands, $ in Thousands

3 Months Ended

6 Months Ended

Jun. 30, 2026

Jun. 30, 2025

Jun. 30, 2026

Jun. 30, 2025

Revenues:

Interest income from sales-type leases

$ 76,902

$ 70,642

$ 151,936

$ 140,306

Operating lease income

15,806

16,706

35,962

38,088

Hotel revenues

15,937

25,801

Interest income

^[1]

3,291

2,712

6,400

5,045

Other income

^[2]

2,710

3,782

5,401

8,080

Total revenues

114,646

93,842

225,500

191,519

Costs and expenses:

Interest expense

55,188

51,265

108,703

101,691

Hotel expenses

13,932

26,127

Real estate expense

770

881

2,080

2,039

Depreciation and amortization

1,849

2,127

3,697

4,323

General and administrative

14,343

12,954

29,646

27,086

Provision for (recovery of) credit losses

270

2,350

768

4,646

Other expense

346

676

2,514

Total costs and expenses

86,390

69,923

171,697

142,299

Income (loss) from operations before other items

28,256

23,919

53,803

49,220

Earnings (losses) from equity method investments

3,861

4,912

7,896

9,904

Net income (loss) before income taxes

32,117

28,831

61,699

59,124

Income tax expense

(1,394)

(862)

(2,079)

(1,745)

Net income (loss)

30,723

27,969

59,620

57,379

Net (income) loss attributable to noncontrolling interests

(568)

(22)

(604)

(68)

Net income (loss) attributable to Safehold Inc. common shareholders

$ 30,155

$ 27,947

$ 59,016

$ 57,311

Net income (loss)

Basic (dollars per share)

$ 0.42

$ 0.39

$ 0.82

$ 0.8

Diluted (dollars per shares)

$ 0.42

$ 0.39

$ 0.82

$ 0.8

Weighted average number of common shares:

Basic (in shares)

71,457

71,740

71,633

71,631

Diluted (in shares)

71,581

71,801

71,777

71,718

[1]	For the three months ended June 30, 2026 and 2025, includes $2.3 million and $2.4 million, respectively, of interest income from related parties. For the six months ended June 30, 2026 and 2025, includes $4.7 million and $4.7 million, respectively, of interest income from related parties.
[2]	For the three months ended June 30, 2026 and 2025, includes $1.9 million and $2.7 million, respectively, of management fees from related parties. For the six months ended June 30, 2026 and 2025, includes $4.0 million and $6.3 million, respectively, of management fees from related parties.

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
Cash flows from operating activities:
Net income (loss)	$ 59,620	$ 57,379
Adjustments to reconcile net income (loss) to cash flows from operating activities:
Depreciation and amortization	3,697	4,323
Stock-based compensation expense	7,168	6,568
Deferred operating lease income	(15,007)	(15,208)
Non-cash interest income from sales-type leases	(53,702)	(49,506)
Non-cash interest expense	7,390	6,882
Amortization of real estate-related intangibles, net	928	1,155
Write-off of investment in preferred equity		1,945
Provision for (recovery of) credit losses	768	4,646
(Earnings) losses from equity method investments	(7,896)	(9,904)
Distributions from operations of equity method investments	3,109	4,795
Amortization of premium, discount and deferred financing costs on debt obligations, net	4,464	4,097
Proceeds received from derivative transactions	17,247	13,127
Other operating activities	1,315	(1,414)
Changes in assets and liabilities:
Changes in deferred expenses and other assets, net	(4,709)	2,251
Changes in accounts payable, accrued expenses and other liabilities	1,643	5,766
Cash flows provided by (used in) operating activities	26,035	36,902
Cash flows from investing activities:
Origination/acquisition of net investment in sales-type leases and Ground Lease receivables	(184,857)	(81,293)
Origination and fundings of loans receivable, net	(18,923)	(42,090)
Contributions to equity method investments	(6,129)	(15,387)
Distributions from equity method investments		9,528
Net proceeds received from sale of real estate available and held for sale	1,402	1,809
Proceeds received from derivative transactions	1,678	3,351
Other investing activities	(1,767)	121
Cash flows provided by (used in) investing activities	(208,596)	(123,961)
Cash flows from financing activities:
Proceeds from debt obligations	1,622,000	543,000
Repayments of debt obligations	(1,556,000)	(420,000)
Payments for deferred financing costs	(2,469)	(441)
Dividends paid to common shareholders	(25,789)	(25,538)
Repurchase of common stock	(16,050)
Payment of offering costs in connection with joint venture (refer to Note 4)	(9,962)
Payments for withholding taxes upon vesting for stock-based compensation	(3,465)	(3,975)
Redemption of noncontrolling interests	(604)	(125)
Contributions from noncontrolling interests	170,520
Distributions to noncontrolling interests	(32)	(43)
Other financing activities	(220)
Cash flows provided by (used in) financing activities	177,929	92,878
Changes in cash, cash equivalents and restricted cash	(4,632)	5,819
Cash, cash equivalents and restricted cash at beginning of period	30,736	17,118
Cash, cash equivalents and restricted cash at end of period	$ 26,104	$ 22,937

Consolidated Balance Sheets - USD ($)
$ in Thousands

Jun. 30, 2026

Dec. 31, 2025

ASSETS

Net investment in sales-type leases ($11,138 and $10,750 of allowances as of June 30, 2026 and December 31, 2025, respectively)

^[1]

$ 3,674,566

$ 3,563,675

Ground Lease receivables, net ($5,134 and $4,872 of allowances as of June 30, 2026 and December 31, 2025, respectively)

^[1]

2,130,999

2,003,931

Real estate, at cost

^[1]

743,822

740,971

Less: accumulated depreciation

^[1]

(55,321)

(52,222)

Real estate, net

^[1]

688,501

688,749

^[1]

202,247

204,016

Real estate available and held for sale

^[1]

2,028

Total real estate, net and real estate-related intangible assets, net and real estate available and held for sale

^[1]

890,748

894,793

Equity investments

^[1]

291,766

280,850

Cash and cash equivalents

^[1]

15,922

21,705

Restricted cash

^[1]

10,182

9,031

Deferred tax asset, net

^[1]

3,271

3,516

Deferred operating lease income receivable

^[1]

256,107

241,100

Deferred expenses and other assets, net

^[1],[2]

68,927

72,030

Total assets

^[1]

7,520,024

7,249,275

Liabilities:

Accounts payable, accrued expenses and other liabilities

^[1]

171,591

161,420

^[1]

61,673

62,089

Debt obligations, net

^[1]

4,653,713

4,585,887

Total liabilities

^[1]

4,886,977

4,809,396

Commitments and contingencies (refer to Note 11)

^[1]

Redeemable noncontrolling interests

800

Safehold Inc. shareholders' equity:

Common stock, $0.01 par value, 400,000 shares authorized, 71,057 and 71,756 shares issued and outstanding as of June 30, 2026 and December 31, 2025, respectively

^[1]

711

717

Additional paid-in capital

^[1]

2,187,162

2,199,265

Retained earnings

^[1]

199,294

165,737

Accumulated other comprehensive income (loss)

^[1]

51,979

42,592

Total Safehold Inc. shareholders' equity

^[1]

2,439,146

2,408,311

Noncontrolling interests

^[1]

193,101

31,568

Total equity

^[1]

2,632,247

2,439,879

Total liabilities and equity

^[1]

7,520,024

7,249,275

Nonrelated party

ASSETS

Loans receivable, net

^[1]

64,986

46,088

Related party

ASSETS

Loans receivable, net

^[1]

112,550

112,556

Deferred expenses and other assets, net

$ 2,500

$ 3,000

[1]	Refer to Note 2 for details on the Company’s consolidated variable interest entities (“VIEs”).
[2]	As of June 30, 2026 and December 31, 2025, includes $2.5 million and $3.0 million, respectively, due from related parties.