Standard & Poor's raised the underlying general obligation rating of Saco to AA-minus from A-plus, partially on the strength of a whopping a 77% surge in total assessed property valuation from fiscal 2000 to fiscal 2005.
The city of 17,000 has high-end residential homes located along its 16 miles of Atlantic Ocean waterfront and the Saco River.
City managers estimate that 500 residential construction and renovation permits have been issued in 2004, according to Standard & Poor's.
The rating action affects roughly $20 million of GO debt outstanding. Also supporting the action were Saco's strong management practices and strong reserves.
