The rating on White Bear Lake, Minn.'s bonds, issued for the Lake Square Partners Project, reflects: * Federal Housing Administration (FHA) mortgage insurance under section 221(d)(4) of the National Housing Act of 1934; * Sufficiency of reserve funds sized at eight months' maximum debt service on the bonds, plus one mortgage payment; * Cash flows indicating sufficient assets and revenues to pay full and timely debt service on the bonds until final maturity; and * High credit quality of the investments. Bond proceeds are used to refund the issuer's prior bonds, which financed the acquisition, construction, and equipping of the project. The purpose of the refunding is to the lower the mortgage rate on the underlying loan. The mortgage loan
