S&P lowers New School, NY rev bond rating to BBB

S&P lowers New School, NY rev bond rating to BBB

S&P Lowers The New School, NY Rev Bond Rating to BBB

On February 25, 2026, S&P Global Ratings downgraded the bond rating for The New School in New York to 'BBB' from a prior level, citing unspecified financial or operational concerns. The rating action reflects adjustments in the issuer's credit profile, though specific details regarding the rationale for the downgrade were not disclosed in the publicly available materials.

The New School, a private higher education institution, issues revenue bonds to fund operational and capital needs. A 'BBB' rating, while still investment-grade, signals increased credit risk compared to higher-rated bonds. Investors should note that this downgrade may influence the cost of future debt issuance for the institution and could impact investor confidence in its financial stability.

No further information was provided in the referenced materials regarding the institution's fiscal 2024 performance, enrollment trends, or debt service capacity. S&P's third-quarter 2024 report on U.S. higher education institutions highlighted broader sector challenges, including enrollment pressures and rising operational costs, but specific details for The New School were not included.

Investors are advised to monitor subsequent ratings updates and the institution's financial disclosures for clarity on the factors driving this action. For now, the downgrade underscores the need for cautious assessment of risk in educational sector investments.

https://www.spglobal.com/ratings/en/regulatory/article/-/view/type/HTML/id/2568207: S&P Global Ratings regulatory article (ID 2568207)
https://www.spglobal.com/ratings/en/regulatory/article/-/view/type/HTML/id/2568207: S&P Global Ratings regulatory article (ID 2568207)
https://www.spglobal.com/ratings/en/regulatory/article/241011-u-s-higher-education-rating-actions-third-quarter-2024-s13284938: US Higher Education Rating Actions, Third-Quarter 2024 (S&P Global Ratings)

This article is based on publicly available information as of February 25, 2026. All data and analysis are presented objectively without endorsement or recommendation.