Bangkok--8 Jul--Standard & Poor's
The U.S. military housing sector grew in the first two quarters of 2011, after two consecutive years of low volume in new transactions, according to a report issued today by Standard & Poor's Ratings Services titled "
Military Housing Sector Rebounds After Two Turbulent Years." In our view, the increased issuance indicates investors' preference for highly rated military housing bonds.
Standard & Poor's believes that overall credit quality in the sector remains high, as evidenced by strong debt service coverage ratios, high occupancy levels, and good construction progress at most of our rated projects.
"We expect the sector to sustain its high credit quality as projects mature and reach stabilization," said Standard & Poor's credit analyst Raymond Kim.
The report also discusses the various rating actions by Standard & Poor's in 2010 and 2009.
As of March 31, 2011, Standard & Poor's maintained 135 public ratings on issues at 40 military housing privatization projects, with a total par volume of $13.8 billion. Demand for housing remains strong, in our view, with an aggregate occupancy of 92% in 2010 among rated projects.
The report is available to subscribers of RatingsDirect on the Global Credit Portal at www.globalcreditportal.com. If you are not a RatingsDirect subscriber, you may purchase a copy of the report by calling (1) 212-438-7280 or sending an e-mail to
[email protected]. Ratings information can also be found on Standard & Poor's public Web site by using the Ratings search box located in the left column at www.standardandpoors.com. Members of the media may request a copy of this report by contacting the media representative provided.
Media Contact:
Edward Sweeney, New York (1) 212-438-6634,
[email protected]
Analyst Contacts:
Raymond Kim, New York (1) 212-438-2005
Mikiyon Alexander, New York (1) 212-438-2083