Launch VideoEnrollment Growth Spurs Charter School Sales
U.S. charter schools are issuing municipal debt at the fastest pace since 2007 as enrollment grows, national networks expand and the lowest yields in a generation spur construction and refinancing.
The independent public schools operate without many of the rules governing traditional institutions in exchange for more accountability for student achievement.
They have sold about $580 million of munis this year through August, the most since $644 million in the same period of 2007. Issuance of the riskiest debt — about half the deals are unrated — has climbed even as charter defaults are set to be the most since 2009.
