Fitch Ratings assigns 'BBB' credit ratings to the $250 million 4.625% coupon rate senior unsecured notes due June 2021 and the $250 million 4.875% coupon rate senior unsecured notes due June 2023 issued by Camden Property Trust (NYSE: CPT). The 10-year 4.625% notes were issued at 99.404% of par value to yield 4.7% to maturity, or 165 basis points over the benchmark treasury rate, and the 12-year 4.875% notes were issued at 99.878% of par value to yield 5% to maturity, or 195 basis points over the benchmark treasury rate. The company intends to use the net proceeds of approximately $492.2 million, together with cash on hand, to repay in full its $500 million unsecured term loan due in October 2011.
Fitch currently rates Camden Property Trust as follows:
--Issuer Default Rating 'BBB';
--$500 million unsecured revolving line of credit 'BBB';
--$884.4 million senior unsecured notes 'BBB';
--$35.2 million senior unsecured medium term notes at 'BBB';
--Preferred stock (indicative) at 'BB+'.
The Rating Outlook is Stable.
Fitch has withdrawn the 'BBB' rating for $500 million unsecured term loan, as this obligation will be repaid following the settlement of senior unsecured notes on June 3, 2011. For additional information, please refer to Fitch's full rating report, 'Camden Property Trust,' dated July 26, 2010.
Camden Property Trust is a Texas real estate investment trust that was formed on May 25, 1993 and is engaged in the ownership, management, development, acquisition, and construction of multifamily apartment communities. As of March 31, 2011, Camden owned interests in, operated, or were developing 190 multifamily properties comprising 64,509 apartment homes across the United States. Of the 190 properties, three properties were under development, and when completed will consist of a total of 711 apartment homes. As of March 31, 2011, Camden had $5.9 billion in gross book assets, an equity market capitalization of $4.4 billion, and a total market capitalization of $6.9 billion.
Fitch currently rates Camden Property Trust as follows:
--Issuer Default Rating 'BBB';
--$500 million unsecured revolving line of credit 'BBB';
--$884.4 million senior unsecured notes 'BBB';
--$35.2 million senior unsecured medium term notes at 'BBB';
--Preferred stock (indicative) at 'BB+'.
Fitch has withdrawn the 'BBB' rating for $500 million unsecured term loan, as this obligation will be repaid following the settlement of senior unsecured notes on June 3, 2011. For additional information, please refer to Fitch's full rating report, 'Camden Property Trust,' dated July 26, 2010.
Camden Property Trust is a Texas real estate investment trust that was formed on May 25, 1993 and is engaged in the ownership, management, development, acquisition, and construction of multifamily apartment communities. As of March 31, 2011, Camden owned interests in, operated, or were developing 190 multifamily properties comprising 64,509 apartment homes across the United States. Of the 190 properties, three properties were under development, and when completed will consist of a total of 711 apartment homes. As of March 31, 2011, Camden had $5.9 billion in gross book assets, an equity market capitalization of $4.4 billion, and a total market capitalization of $6.9 billion.
