Maryland Economic Development Corp. Project Debt Rating Outlook Revised To Stable From Negative On Sufficient Occupancy

NEW YORK (S&P Global Ratings) June 25, 2024--S&P Global Ratings revised the outlook on its 'BB' rating on Maryland Economic Development Corp.'s (MEDCO) series 2013 housing revenue refunding bonds, issued for the Edgewood Commons housing project on Frostburg State University's (FSU) campus, to stable from negative and affirmed the rating. The outlook revision reflects our expectation that the project will likely retain sufficient occupancy to meet its financial targets through fiscal 2025 due to the ongoing closure of Brownsville Hall and potential concessions to allow additional student demographics. "We could revise the outlook to negative or lower the rating if project occupancy were to decrease, if coverage were to decrease near 1x, or if the project were to require the

...June 25, 2024 NEW YORK (S&P Global Ratings) June 25, 2024--S&P Global Ratings revised the outlook on its '##' rating on Maryland Economic Development Corp.'s (MEDCO) series 2013 housing revenue refunding bonds, issued for the Edgewood Commons housing project on Frostburg State University's (FSU) campus, to stable from negative and affirmed the rating. The outlook revision reflects our expectation that the project will likely retain sufficient occupancy to meet its financial targets through fiscal 2025 due to the ongoing closure of Brownsville Hall and potential concessions to allow additional student demographics. "We could revise the outlook to negative or lower the rating if project occupancy were to decrease, if coverage were to decrease near 1x, or if the project were to require the use of the debt-service-reserve fund to make debt-service payments," said S&P Global Ratings credit analyst Nick Breeding. "We could revise the outlook to positive or raise the rating if the project were...

Ratings Action