Deterioration in office loan performance droved delinquency on securitized commercial real estate loans to an 18-month high.
The 30-day past-due rate on loans that are part of commercial mortgage-backed securities was 5.31 percent as of Feb. 28.
That turned out to be the highest rate of CMBS delinquency since August 2015, when the 30-day rate came in at 5.45 percent.
Trepp LLC reported the metrics.
The 30-day rate was
5.18 percent at the end of January and 4.15 percent as of Feb. 29, 2016.
“The reading has consistently climbed over the past year as loans from 2006 and 2007 have reached their maturity dates and have not been paid off via refinancing,” the report stated.
Overall CMBS delinquency turned sharply higher due to securitized office building loans, with the 30-day rate
in that category surging 54 basis points from January to 7.65 percent.
But delinquency on industrial property CMBS loans sank 8 BPS to 5.94 percent as of last month.
The 30-day rate on securitized lodging loans sank 13 BPS from a month earlier to 3.43 percent.
A 14-basis-point plunge from the first month of the year left the multifamily delinquency rate 2.82 percent.
At 5.93 percent, delinquency on retail CMBS loans plummeted from January by 17 BPS — the biggest improvement of any property type.
