Moody's affirmed Corporate Office Properties LP's Baa3 issuer rating, revising its outlook to positive from stable.
The rating agency also affirmed the company's senior unsecured debt rating at Baa3 and senior unsecured debt shelf at (P)Baa3. The affirmation is supported by Corporate Office Properties' continuous capital structure enhancements.
The company's credit metric is predicted to be close to 6x by the end of 2017, while it maintains a good liquidity position with no debt maturities until 2020. Its credit facility has an $800 million capacity, with a potential to rise to $1.3 billion, and has an unsecured line of credit with $606 million available as at June 30.
The positive outlook indicates the company's efforts toward decreasing its overall leverage, and maintaining strong fixed charge coverage and a high quality unencumbered pool, which is reported to be credit positive at 91% as of the second quarter.