Moody’s assigns A3 credit rating to Hufvudstaden
Rating agency Moody’s has assigned Hufvudstaden an A3 long-term credit rating with a stable outlook, marking the property firm's first official rating.
Moody’s Investors Service has issued an A3 rating to Swedish property firm Hufvudstaden. The agency cited the company’s portfolio quality in prime Stockholm and Gothenburg locations, consistent rental income growth, and a conservative leverage profile as primary drivers for the score.
The assignment of an A3 rating allows the company to diversify its funding sources by providing institutional investors with an independent assessment of its creditworthiness. This is expected to facilitate easier access to bond markets and other debt financing instruments.
Hufvudstaden’s management stated the rating acknowledges the company’s long-term financial management. The stable outlook suggests that the agency expects the company to maintain its current fiscal discipline despite market fluctuations.