Shea Homes L.P.'s Proposed $300 Million Senior Unsecured Notes Rated 'BB-'

CENTENNIAL (S&P Global Ratings) Sept. 14, 2020--S&P Global Ratings today assigned its 'BB-' issue-level and '2' recovery ratings to Shea Homes L.P.'s proposed $300 million senior unsecured notes due 2030. The '2' recovery rating indicates our expectation for substantial (70%-90%; rounded estimate: 85%) recovery in the event of a payment default. We expect the company to use the proceeds from this offering to refinance its existing senior notes due in 2025. For a more detailed view of our credit opinion, please see our most recent research update on Shea Homes L.P., "Shea Homes L.P. Outlook Revised To Negative From Stable; Ratings Affirmed," published April 14, 2020. General Criteria: Group Rating Methodology, July 1, 2019 Criteria Corporates General: Corporate

...- General Criteria: Group Rating Methodology, July 1, 2019 - Criteria | Corporates | General: Corporate Methodology: Ratios And Adjustments, April 1, 2019 - Criteria | Corporates | General: Recovery Rating Criteria For Speculative-Grade Corporate Issuers, Dec. 7, 2016 - Criteria | Corporates | General: Methodology And Assumptions: Liquidity Descriptors For Global Corporate Issuers, Dec. 16, 2014 - Criteria | Corporates | Industrials: Key Credit Factors For The Homebuilder And Real Estate Developer Industry, Feb. 3, 2014 - General Criteria: Country Risk Assessment Methodology And Assumptions, Nov. 19, 2013 - Criteria | Corporates | General: Corporate Methodology, Nov. 19, 2013 - General Criteria: Methodology: Industry Risk, Nov. 19, 2013 - General Criteria: Methodology: Management And Governance Credit Factors For Corporate Entities, Nov. 13, 2012 - General Criteria: Use Of CreditWatch And Outlooks, Sept. 14, 2009...

Ratings Action