S&P rates Greystar notes BB-, changes view

S&P said it revised its outlook on Greystar Real Estate Partners LLC to stable from positive and affirmed the BB- issuer credit rating.

In addition, the agency assigned a BB- issue-level rating on Greystar's new senior secured notes due 2025. The recovery rating is 3, indicating an expectation for meaningful recovery (50%) of principal in the event of a payment default.

The company plans to use a majority of the proceeds to repay its existing $320 million 8¼% senior secured notes due 2022.

“The outlook revision to stable considers our expectation that leverage, measured as net debt to adjusted EBITDA, will remain 3.0x-4.0x, compared with our prior expectation of leverage declining to under 3.0x,” S&P said in a news release.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.