DBRS Assigns BBB (low) Rating with a Stable Trend to Crombie Real Estate Investment Trust’s CAD 175 Million 4.800% Series E Senior Unsecured Notes

DBRS Limited (DBRS) assigned a rating of BBB (low) with a Stable trend to Crombie Real Estate Investment Trust’s (Crombie REIT or the Trust) CAD 175 million 4.800% Series E Senior Unsecured Notes, due January 31, 2025 (the Series E Notes). The rating being assigned is based upon the rating on the already-outstanding series of the Senior Unsecured Notes.

The Series E Notes are unconditionally guaranteed, on an unsecured basis, by Crombie Limited Partnership, Crombie Developments Limited, Crombie General Partner Limited, Crombie Management Limited, Crombie Property Holdings II Limited, Crombie Properties II Partnership, Crombie Property Holdings Limited, Snowcat Property Holdings Limited and Crombie Davie Street Limited Partnership. The Series E Notes are direct senior unsecured obligations of Crombie REIT and rank equally and rateably in right of payment with all other unsecured and unsubordinated indebtedness of the Trust.

DBRS understands that the net proceeds from the offering will be used to repay existing indebtedness, including repayment of the CAD 175 million 3.986% Series A Senior Unsecured Notes, due October 31, 2018.

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

The principal methodologies are Rating Entities in the Real Estate Industry (April 2018), DBRS Criteria: Guarantees and Other Forms of Support (January 2018) and DBRS Criteria: Preferred Share and Hybrid Criteria for Corporate Issuers (December 2017), which can be found on dbrs.com under Methodologies.

The rated entity or its related entities did participate in the rating process for this rating action. DBRS had access to the accounts and other relevant internal documents of the rated entity or its related entities in connection with this rating action.

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