OREANDA-NEWS. RusRating has assigned a credit rating to OOO Lait (Moscow). The rating is "BB" on the national scale and "B" on the international scale, in both cases with a stable outlook.

The rating is based on a loan guarantee provided by the owner of the Praga Retail Centre plus close business ties between the Company’s owners and BFG-Credit Bank and the resulting high probability of re-financing or repayment by the guarantor in the event of unfavourable macro-economic developments.

Constraining factors include a high debt burden; limited financial transparency; and falling demand for commercial real estate as a result of deteriorating macro-economic conditions in Russia.

About the Company

OOO Lait is a limited liability company set up in 2007 that belongs to the High Street real estate development group, which has close ties to BFG-Credit Bank. Backed by loans from that Bank, it is a co-investor in the Praga Retail Centre, a 14 000 m2 facility located at Rossoshanski proezd 3 in Moscow that opened late last year. The Company has no property rights in the facility but its loans have been guaranteed by the property owner.

Accounts receivable and inventory are the main components of assets, while liabilities consist mainly of loans from BFG-Credit Bank. The debt burden is high. Risk sensitivity is high, reflecting conditions in the real estate market.

Strategy calls for the sale of floor space in the Praga centre in small lots up until the end of 2015.