WEST HOLLYWOOD—The credit rating analysis firm, Moody’s Investors Service, bumped up West Hollywood’s issuer rating on Thursday, December 28 to the second-highest indicator possible.
The company increased the city’s rating to Aa1 from Aa2. The only designation higher is the prestigious “triple-A” rating. Municipalities with higher grades are easily able to take out low interest loans. In addition, it makes that municipality’s bonds more attractive to enterprising investors who know the city is not likely to default.
In a statement, West Hollywood Mayor John Heilman said, “to receive recognition in the form of a rating upgrade from Moody’s is a great way to end the year. The City of West Hollywood is very proud of our sound fiscal management policies.”
According to Moody’s, the upgrade was due primarily to the strength and size of the city’s tax base, as well as West Hollywood’s potential for growth. The firm also cited “the city’s above-average socioeconomic profile” as a motivator for increasing the rating.
