Our 'B' corporate credit rating on Shea Homes L.P. is derived from: Our anchor of 'b+', based on "weak" business risk profile and "aggressive" financial risk profile assessments for the company. The comparable rating analysis modifier, which we assess as "unfavorable," lowering the company's anchor score by one notch. It is subject to highly cyclical homebuilding market conditions; The company's privately held status gives rise to limited transparency and a lack of independent board oversight; and Geographic concentration from generating over one-half of revenue in California. Forecasted book leverage just below 60%; Lack of near-term debt maturities, but large single bullet maturity in 2019 increases future refinancing risk; and New $125 million secured revolver provides improved liquidity cushion. Our outlook
