Four multifamily project bonds backed by the Florida Housing Finance Corp. affordable housing guarantee fund remain on negative ratings watch, Fitch Ratings said this week.

The bonds remain on negative ratings watch due to insufficient asset value-to-debt ratios, the ratings giant said. The bonds have been on watch since August of 2011.

The troubled bonds include the Woods of Vero Beach Apartments Project, the Wentworth II Apartments Project, the Westwood Apartments and Wyndham Place Apartments, Fitch said.

The ratings agency said the negative watch will remain because the projects have been approved to receive a second round of funding from the state apartment incentive loan funding for extremely low-income housing. The funds delivered will be used to redeem a portion of the bonds.

"The bond redemptions are scheduled for dates between July 1 and Nov. 1, 2012 and, therefore, the loan and bond amounts are expected to be amended over the next several months," said Fitch.

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kpanchuk@housingwire.com