Inglewood Redevelopment Agency, CA Subordinate TAB Ratings Raised To #A-# On Recent AV Growth

Stocks and Financial Services Press Releases Wednesday March 8, 2017 09:21
SAN FRANCISCO--8 Mar--S&P Global Ratings

SAN FRANCISCO (S&P Global Ratings) March 7, 2017--S&P Global Ratings raised its long-term rating and underlying rating (SPUR) to 'A-' from 'BBB+' on Inglewood Redevelopment Agency (RDA), Calif.'s subordinate-lien tax allocation bonds (TABs) and subordinate housing TABs. In addition, S&P Global Ratings assigned its 'A-' long-term rating to the Successor Agency to the Inglewood Redevelopment Agency's 2017 tax allocation refunding bonds.

The outlook on all ratings is stable. "The rating action is based on our view of the district's recent assessed value growth as well as the likelihood of continued, significant increases to assessed value and debt service coverage due to development that will be completed within the district over the next several years," said S&P Global Ratings credit analyst Benjamin Geare. The ratings further reflect our view of: The project area's adequate maximum annual debt service coverage on the series 2017, 2003, 2007A-T, and 2007 A-H bonds; The recent acceleration in assessed value growth within the project area, largely due to property transfers associated with stadium and metro transit developments; andThe agency's cash management practices, which we consider strong.

The series 2017 bonds are secured by a subordinate lien on tax increment revenue from the merged project area, net of senior pass-through payments. The 2017 bonds will fully refund the former RDA's series 2003A and 2007 A-1 TABs, and upon the closing of the 2017 bonds, the ratings on the 2007 A-1 bonds are subject to discontinuance; S&P Global Ratings does not rate the series 2003A bonds. In addition to the senior 1998A series, which S&P Global Ratings does not rate, the series 2003, 2007A-T, and 2007 A-H bonds will remain outstanding.

The indenture for the 2017 series (dated as of March 1, 2017) will amend and supplement the indentures for the series 2003, 2007A-T, and 2007 A-H bonds to provide for the issuance of the 2017 bonds secured on a parity with the 2003, 2007A-T, and the 2007A-H bonds. A separate cash-funded debt service pooled reserve fund for the 2017 bonds and the parity bonds provides additional security to the bonds. RELATED RESEARCH Revisiting The Dissolution Of California Redevelopment Agencies, June 11, 2013 Certain terms used in this report, particularly certain adjectives used to express our view on rating relevant factors, have specific meanings ascribed to them in our criteria, and should therefore be read in conjunction with such criteria. Please see Ratings Criteria at www.standardandpoors.com for further information. Complete ratings information is available to subscribers of RatingsDirect at www.globalcreditportal.com and at www.spcapitaliq.com. All ratings affected by this rating action can be found on the S&P Global Ratings' public website at www.standardandpoors.com. Use the Ratings search box located in the left column.


Latest Press Release

SET welcomes restaurant operator Zen Corporation Group on February 20

The Stock Exchange of Thailand (SET) will list Zen Corporation Group pcl – a leading operator of restaurant brands in Thailand – on February 20, under the ticker symbol "ZEN". The company has a market capitalization at its initial public...

Photo Release: EXIM Thailand Holds FX Risk Management Seminar Phase 2 To Promote FX Risk Hedging Tools for SME Exporters in the Northeast

Mr. Chana Boonyachai (center), Executive Vice President of Export-Import Bank of Thailand (EXIM Thailand), recently welcomed Mrs. Thatsanee Tangpattanasiri (right), Director, Northestern Regional Office, Bank of Thailand (BOT), and Mr. Ranon Keowsuddhi...

Frasers Property Thailands Revenue Increased 341% to 2.577 Billion Baht and Net Profit Rose 190% to 684 Million Baht in Q1/2019

Revenue totalled 2.577 billion baht, an increase of 1.993 billion baht or 341% year-on-year, while net profit totalled 684 million baht, a growth of 190% year-on-year. Embarked on a "Total Dimension" strategy to become leading provider of smart...

Photo Release: EXIM Thailand Visits Xayaburi Hydroelectric Power Project

Mr. Nopporn Thepsithar (fifth left), Chairman of the Board of Executive Directors, Export-Import Bank of Thailand (EXIM Thailand) and Dr. Narongchai Akarasanee (center), former Minister of Energy, recently visited Xayaburi Hydroelectric Power Project...

Thailands Promotion of Advanced Technology and Eco-system Development Enables Local Producers to Fly Higher

Thailand has been experiencing a gradual shift from a manufacturing to a high-value manufacturing economy after the country has put all its efforts into promoting the use of advanced technology, science, and innovation in parallel with the development of...

Related Topics