Safehold 10-K 2015 FY Annual report

Exhibit 12.1

Computation of Ratio of Earnings to Fixed Charges and Earnings to Fixed Charges and Preferred Dividends

($ in thousands, except ratios)

	For the Years Ended December 31,
	2015			2014			2013			2012			2011
Earnings:
Pre-tax income from continuing operations before earnings from equity method investments and other items	$	(124,487	)	$	(165,171	)	$	(255,574	)	$	(409,242	)	$	(150,820	)
Add: Fixed charges as calculated below	231,967			232,037			270,872			359,844			348,664
Add: Distributions from operations of equity method investments	29,999			80,116			17,252			105,586			85,766
Less: Capitalized interest	(5,337		)	(4,893		)	(2,590		)	(1,794		)	(788		)
Total earnings	$	132,142		$	142,089		$	29,960		$	54,394		$	282,822
Fixed charges:
Interest expense(1)	$	224,639		$	224,483		$	266,225		$	356,161		$	345,914
Add: Capitalized interest	5,337			4,893			2,590			1,794			788
Implied interest component on the company's rent obligations	1,991			2,661			2,057			1,889			1,962
Fixed charges	$	231,967		$	232,037		$	270,872		$	359,844		$	348,664
Preferred dividends	51,320			51,320			49,020			42,320			42,320
Fixed charges and preferred dividends	$	283,287		$	283,357		$	319,892		$	402,164		$	390,984
Earnings to fixed charges(2)	—			—			—			—			—
Earnings to fixed charges and preferred dividends(2)	—			—			—			—			—

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(1) For the years ended December 31, 2012 and 2011, interest expense includes $1,064 and $3,728, respectively, of interest expense reclassified to discontinued operations.

(2) For the years ended December 31, 2015, 2014, 2013, 2012 and 2011 earnings were not sufficient to cover fixed charges by $99,825, $89,948, $240,912, $305,450 and $65,842, respectively, and earnings were not sufficient to cover fixed charges and preferred dividends by $151,145, $141,268, $289,932, $347,770 and $108,162, respectively.