NEW YORK - Standard & Poor's Ratings Services said it raised its rating on Dakota County Community Development Agency, Minn.'s (Southfork Apartments) multifamily housing mortgage revenue refunding bonds series 2000 to AA-plus from B-plus. The outlook is negative.
"The rating upgrade reflects our anticipation of full and timely debt service payment on bonds until maturity based on sufficient revenues from mortgage payments," said Standard & Poor's credit analyst Renee J. Berson.
The rating reflects: the high credit quality of the Fannie Mae pass-thru certificate; extremely strong debt service coverage; investments held in First American Treasury Obligations Fund Class D money market fund (AAAm); and asset/liability ratio is 100.69% as of Nov. 23, 2011.
The rating also reflects the sovereign rating on the U.S. (AA-Plus/Negative). Should the sovereign rating on the U.S. be upgraded to AAA and the bond program meet all criteria commensurate with a AAA rating, the rating on the bonds will be upgraded.
Standard & Poor's has analyzed updated financial information assuming zero reinvestment earnings as set forth in the related criteria articles. The bonds are able to meet all costs from transaction cash flow for the term of the bonds, assuming no reinvestment earnings.
