Safehold Inc

Good morning and welcome to Safehold's second quarter 2021 earnings conference call. If you need assistance during today's call, please press star zero. If you would like to ask a question, please press one zero. That's one zero to ask a question. As a reminder, today's conference is being recorded. At this time for opening remarks and introductions, I would like to turn the conference over to Jason Fuchs, Senior Vice President of Investor Relations and Marketing. Please go ahead, sir.

Good morning, everyone, and thank you for joining us today for Safehold's earnings call. On the call today, we have Jay Sugarman, Chairman and Chief Executive Officer, and Marcus Alvarado, President and Chief Investment Officer. This morning, we plan to walk through a presentation that details our second quarter results. The presentation can be found on our website at safeholdinc.com and by clicking on the investors link. There'll be a replay of this conference call beginning at 1 p.m. Eastern time today, and the dial-in for the replay is 866-207-1041. with the confirmation code of 7260006. Before I turn the call over to Jay, I'd like to remind everyone that statements in this earnings call which are not historical facts may be forward-looking. Our actual results may differ materially from these forward-looking statements, and the risk factors that could cause these differences are detailed in our SEC reports. Stateful disclaims any intent or obligation to update these forward-looking statements except as expressly required by law. Now with that, I'd like to turn the call over to Chairman and CEO Jay Shugman. Jay?

Thanks, Jason, and thank you all for joining us today. The second quarter saw a nice ramp-up in investing activity with both transactions closed and future deals in the pipeline growing strongly from the first quarter. We continue to gain traction by providing long-term, well-priced, and well-structured modern ground leases that unlock significant value for our customers. This quarter, we also expanded our ability to source high-quality ground leases in major markets through our Ground Lease Plus program. Working together with I-Star, we can create ground leases early in the development process, where I-Star funds the pre-development ground lease and Safehold commits to acquire the ground lease at a predetermined price once the development meets certain shovel-ready criteria. During the quarter, I-Star closed on a pair of Safehold-approved ground leases covering a full city block in downtown Austin, Texas. which Safehold committed to acquire once construction is ready to begin. We also secured an option on a major site in the Seattle MSA that will be triggered once construction begins on an anticipated 1 million square foot development. Together, these two opportunities could generate between 300 and 500 million of irreplaceable ground leases in two of the top technology markets in the country. Along with our progress on the customer front, We also began to highlight for investors the significant value building up in Safehold's unrealized capital appreciation account and provided a simple valuation formula for investors to understand the potential value of this asset as we continue to grow. We've been quietly tracking this asset's value for shareholders since we went public, but now believe we have demonstrated both the track record and the scale to be a bit more vocal about the embedded value that is being captured for shareholders. As you saw in our earnings package, our unrealized capital appreciation asset grew by some $374 million in the quarter, increasing to approximately $6 billion. By consistently growing our ground-lease portfolio and diversifying across top markets and major assets in the U.S., we believe this $6 billion asset will come into sharper focus in investors' minds and begin to be reflected in the value of our share price. Okay, with that, let's have Marcos walk through the details of the quarter. Marcos?