Bangkok--4 Nov--Standard and Poor's
Standard and Poor's Ratings Services assigned its 'AA+' long-term rating to Washington Biomedical Properties 3.1, Wash.'s approximately $165 million series 2010 lease revenue bonds, issued on behalf of the University of Washington. At the same time, Standard & Poor's affirmed its 'AA+' long-term and underlying rating on the university's outstanding revenue debt, its 'AA' long-term rating and SPUR on the university's housing and dining system debt, and its 'A-1+' short-term rating on the university's outstanding commercial paper (CP).
"The rating reflects our view of the university's strong lease provisions without appropriation or abatement risk and its position as one of the top research universities in the U.S.," said Standard & Poor's credit analyst Jessica Matsumori. "Further supporting the rating is a facilities and ground lease that runs 48 years, well beyond the life of the 30-year bonds and the university's unconditional obligation to make lease payments from its general revenues."
"The university also has what we consider good financial resources for the rating category and a stable and increasing enrollment," Ms. Matsumori said.
Bond proceeds will be used toward the construction of the third phase of the Washington Biomedical Research Facilities project, located in the South Lake Union area of Seattle.
The University of Washington (UW) was founded in 1861 and is located on a main campus in Seattle and has two branch campuses in Tacoma and Bothell. The university offers a variety of undergraduate, graduate, post-graduate, and professional degrees and also operates the University Medical Center, a 23-branch library system, and transportation system.
RELATED CRITERIA AND RESEARCH
General Criteria: Enhanced Methodology And Assumptions For Rating Government-Related Entities, June 29, 2009
USPF Criteria: Commercial Paper, VRDO, And Self-Liquidity, July 3, 2007
USPF Criteria: Higher Education, June 19, 2007
Complete ratings information is available to RatingsDirect subscribers on the Global Credit Portal at www.globalcreditportal.com and RatingsDirect subscribers at www.ratingsdirect.com. All ratings affected by this rating action can be found on Standard & Poor's public Web site at www.standardandpoors.com. Use the Ratings search box located in the left column.
Media Contact:
Ana Sandoval, New York (1) 212-438-5095,
[email protected]
Analyst Contacts:
Jessica Matsumori, San Francisco (1) 415-371-5083
Charlene Butterfield, New York (1) 212-438-2741