S&P has amended the outlook for Local Space from stable to negative

The headline rating for the organisation, which specialises in temporary and key worker accommodation, remains at AA-.  In an update on 26^th June, S&P highlighted that financial performance was expected to weaken due to Local Space bringing responsive repairs in-house and increasing planned investment in existing homes.  In particular, higher costs or delays could be encountered when updating the repairs model.  More favourably, the organisation’s financial ratios remain stronger than most peers, while management has the flexibility to scale back expansion if this was needed to preserve liquidity or debt metrics.