Rating upgrade reflects Alexandria's proven track record of strong operating performance, successful execution of its growth strategy and strengthening of its credit profile
PASADENA, Calif., Feb. 19, 2019 /PRNewswire/ -- Alexandria Real Estate Equities, Inc. (NYSE: ARE), an urban office REIT uniquely focused on collaborative life science and technology campuses in AAA innovation clusters, today announced that S&P Global Ratings (S&P) upgraded the company's corporate credit rating to BBB+ from BBB. The rating outlook is stable.
The rating upgrade reflects Alexandria's track record of consistently strong operating performance and continued successful delivery of its visible, highly leased value-creation development and redevelopment pipeline while it also strengthens its credit profile. The upgrade was also driven by the company's high-quality asset base of Class A properties clustered in high-barrier cluster locations, including Greater Boston, San Francisco and New York City, which are characterized by limited supply and favorable life science industry fundamentals that drive strong demand and enable Alexandria to attract and retain its high-quality and REIT industry-leading tenant base.
"We are pleased that S&P has recognized the continual improvement in our credit profile and the ability of our experienced team to execute on our disciplined growth strategy," said Dean A. Shigenaga, co‑president and chief financial officer of Alexandria Real Estate Equities, Inc. "We are particularly proud that at year-end, we had the highest credit profile in company history, which, coupled with our differentiated business model, uniquely positions us to execute on our long-term growth strategy."
About Alexandria Real Estate Equities, Inc.
Alexandria Real Estate Equities, Inc. (ARE), an S&P 500® company, is an urban office REIT uniquely focused on collaborative life science and technology campuses in AAA innovation cluster locations, with a total market capitalization of $18.4 billion and an asset base in North America of 33.1 million SF as of December 31, 2018. The asset base in North America includes 22.4 million RSF of operating properties and 3.9 million RSF of development and redevelopment of new Class A properties currently undergoing construction and preconstruction activities with target delivery dates ranging from 2019 through 2020. Additionally, the asset base in North America includes 6.8 million SF of intermediate-term and future development projects. Founded in 1994, Alexandria pioneered this niche and has since established a significant market presence in key locations, including Greater Boston, San Francisco, New York City, San Diego, Seattle, Maryland and Research Triangle Park. Alexandria has a longstanding and proven track record of developing Class A properties clustered in urban life science and technology campuses that provide our innovative tenants with highly dynamic and collaborative environments that enhance their ability to successfully recruit and retain world-class talent and inspire productivity, efficiency, creativity and success. Alexandria also provides strategic capital to transformative life science and technology companies through our venture capital arm. We believe our unique business model and diligent underwriting ensure a high-quality and diverse tenant base that results in higher occupancy levels, longer lease terms, higher rental income, higher returns and greater long-term asset value. For additional information on Alexandria, please visit www.are.com.
CONTACT: Sara Kabakoff, AVP – Corporate Communications, Alexandria Real Estate Equities, Inc., (626) 788‑5578