Safehold Inc. announced the closing of its third ground lease in the Phoenix MSA for $54 million. The Safehold ground lease facilitates the acquisition of Rise on Apache, a Class A student housing property near Arizona State University in Downtown Tempe. The transaction closed in December 2021 and marks Safehold’s second student housing ground lease in Tempe, AZ.
“We are gaining momentum in the Phoenix market,” said Tim Doherty, Head of Investments in a statement. “We are very excited to welcome high quality sponsor Invesco as a new customer and we look forward to the opportunity to expand our relationship going forward.”
Rise on Apache is a 15-story property comprised of 384 units with high-end finishes and a total of 833 beds. The property features outdoor amenities including a rooftop deck, pool, hot tub, outdoor grills, running track, and JumboTron. Additionally, indoor amenities include a large fitness center, golf/ski simulator, rock-climbing wall, game lounge, and sauna. Rise on Apache is walking distance to the Arizona State University campus and is well located with nearby entertainment, retail, and restaurants.
Safehold Inc. created the modern ground lease industry in 2017 and continues to help owners of multifamily, office, industrial, hospitality and mixed-use properties generate higher returns with less risk. The Company is taxed as a real estate investment trust and is managed by its largest shareholder, iStar Inc.
