Maryland Economic Development Corp.; Auxiliary - Stand Alone

S&P Global Ratings affirmed its 'BBB-' long-term rating on Maryland Economic Development Corp.'s (MEDCO) series 2015 (University of Maryland, Baltimore project) student housing refunding revenue bonds. The outlook is stable. The rating reflects our view of the project's adequate occupancy that has remained near or above 90%, credit support provided by USM through UMB, and its adequate financial performance, with annual debt service coverage of 1.4x in fiscal 2019 and similar expectations for fiscal 2020. The project's occupancy has fluctuated more than other MEDCO projects associated with USM campuses as it is located in an urban location and is filled with graduate students. We view this as a potential risk, but it has been mitigated recently by occupancy near or

...S&P Global Ratings affirmed its '###-' long-term rating on Maryland Economic Development Corp.'s (MEDCO) series 2015 (University of Maryland, Baltimore project) student housing refunding revenue bonds. The outlook is stable. The rating reflects our view of the project's adequate occupancy that has remained near or above 90%, credit support provided by USM through UMB, and its adequate financial performance, with annual debt service coverage of 1.4x in fiscal 2019 and similar expectations for fiscal 2020. The project's occupancy has fluctuated more than other MEDCO projects associated with USM campuses as it is located in an urban location and is filled with graduate students. We view this as a potential risk, but it has been mitigated recently by occupancy near or above 90% in recent years with the expectation that it will continue. UMB provides credit support through a support (contingency) agreement. Through the agreement, the university pledges to lease from MEDCO any unoccupied beds...

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