Trepp: CMBS Delinquency Rate Decreases in February

(Image courtesy of Trepp)

Trepp, New York, found the CMBS Delinquency Rate fell in February, with the overall rate decreasing 26 basis points to 6.3%.

That’s the second straight decrease after a longer spate of increases.

However, year-over-year, the CMBS delinquency rate is up 159 basis points, from 4.71%.

The office rate fell 45 basis points to 9.78%, down from the all-time high of 11.01% notched last year.

The multifamily delinquency rate decreased 17 basis points to 4.46%, the industrial delinquency rate fell 12 basis points to 0.34% and the retail delinquency rate fell three basis points to 7.49%.

Lodging was the only property type that saw an increase, up 20 basis points to 6.43%.

The overall percentage of loans that are seriously delinquent—defined as those 60-plus days delinquent, in foreclosure, REO or nonperforming balloons) is 5.91%, down 26 basis points.

If defeased loans were not considered, the overall headline delinquency rate would be 6.5%, down 30 basis points from January.

The CMBS 2.0+ delinquency rate fell 27 basis points to 6.18%. The percentage of CMBS 2.0+ loans that are seriously delinquent is 5.79%, down 26 basis points. And, if defeased loans were taken out of the equation, the overall CMBS 2.0+ delinquency rate would be 6.4%, down 28 basis points for the month.