S&P Global Ratings upgraded Century Communities Inc.'s corporate credit rating and the issue-level rating on the homebuilder's senior unsecured notes to B+ from B, with a stable outlook.
The rating agency said the move takes into account the completion of the company's merger with UCP Inc., as well as its enlarged size and geographic diversity following the deal.
S&P is of the opinion that the company's entry into the California and Pacific Northwest markets has increased the appeal of its overall market mix and has offered it positions in some otherwise land-constrained areas.
The stable outlook mirrors the rating agency's anticipation that favorable housing demand and the company's boosted community platform will allow it to increase home closings at a quicker pace than the wider U.S. market over the next 12 months.
This S&P Global Market Intelligence news article may contain information about credit ratings issued by S&P Global Ratings, a separately managed division of S&P Global. Descriptions in this news article were not prepared by S&P Global Ratings. The original S&P Global Ratings documents referred to in this news brief can be found here.