DBRS Rates Calloway’s $50 Million Re-opening of Series I Senior Unsecured Debentures at BBB, Stable

DBRS has today assigned a rating of BBB with a Stable trend to Calloway Real Estate Investment Trust’s (Calloway) $50 million of additional Series I Senior Unsecured Debentures, due May 30, 2023 (Series I Bonds), which is a re-opening of this series of debentures. The original issuance ($150 million) was rated BBB with a Stable trend by DBRS on May 22, 2013. DBRS notes that this re-opening of the Series I Bonds does not change the previously assigned rating.

An aggregate of $200 million of Series I Bonds will be outstanding after giving effect to this offering. The Series I Bonds are direct senior unsecured obligations of Calloway and rank equally and rateably with all other unsecured and unsubordinated indebtedness of Calloway. The net proceeds from this issuance will be used by Calloway to repurchase $50 million par value of its 5.37% Series B Senior Unsecured Debentures due October 12, 2016, for cancellation.

Notes:
All figures are in Canadian dollars unless otherwise noted.

This rating is endorsed by DBRS Ratings Limited for use in the European Union.

The applicable methodology is Rating Entities in the Real Estate Industry (October 2013), which can be found on our website under Methodologies.