Sweden-Based Akelius Residential Property AB Upgraded To 'BBB/A-2' On Improved Credit Metrics; Outlook Stable

Akelius Residential Property has continued to strengthen its portfolio of almost €10 billion in global metropolitan cities in 2016 and 2017. Through active disposals in 2016 and 2017, repayment of a loan to the parent company, and positive asset revaluation, Akelius reduced its leverage more than we anticipated. We are therefore raising our ratings on Akelius to 'BBB/A-2' from 'BBB-/A-3', our regional scale ratings to 'K-2' from 'K-3', and the issue ratings on the senior unsecured debt to 'BBB' from 'BBB-'. The stable outlook reflects our expectation of continued favorable demand for midsize residential apartments in most of Akelius' markets where supply remains limited, and that Akelius will maintain stable S&P Global Ratings-adjusted debt to debt plus equity of less

...+ Akelius Residential Property has continued to strengthen its portfolio of almost 10 billion in global metropolitan cities in 2016 and 2017. + Through active disposals in 2016 and 2017, repayment of a loan to the parent company, and positive asset revaluation, Akelius reduced its leverage more than we anticipated. + We are therefore raising our ratings on Akelius to '###/A-2' from '###-/A-3', our regional scale ratings to 'K-2' from 'K-3', and the issue ratings on the senior unsecured debt to '###' from '###-'. + The stable outlook reflects our expectation of continued favorable demand for midsize residential apartments in most of Akelius' markets where supply remains limited, and that Akelius will maintain stable S&P Global Ratings-adjusted debt to debt plus equity of less than 55%. FRANKFURT (S&P Global Ratings) Nov. 3, 2017--S&P Global Ratings today raised its long- and short-term corporate credit ratings on Sweden-based Akelius Residential Property AB to '###/A-2' from '###-/A-3'....

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