The Real Deal Miami

Standard and Poor’s lowers Lennar credit

October 14, 2010 09:45AM

Miami-based homebuilder Lennar’s recent purchase of $740 million in
distressed property assets has led ratings firm Standard & Poor’s to
lower the company’s rating to B+ from BB-. In addition, Lennar’s senior
unsecured notes, of which it holds $2.4 billion, saw lower ratings. “We
lowered our ratings on Lennar after the homebuilder drew down its
unrestricted cash balances to fund a sizable investment in three
portfolios of distressed real estate assets,” said credit analyst James
Fielding in a news release. [SFBJ]