NewsLink Q&A: KBRA’s 2025 CMBS Outlook: Twin Peaks?

Kroll Bond Rating Agency just released its CMBS 2025 Sector Outlook, which forecasts issuance activity for the new year. MBA NewsLink interviewed two KBRA analysts about the current lending environment as well as factors that may affect property performance in 2025.

KBRA Says CMBS Appraisal Reductions Are Climbing

Kroll Bond Rating Agency, New York, reported that commercial mortgage-backed securities appraisal reduction amounts–ARAs–have climbed in tandem with delinquency rates.

CMBS Delinquency Rate Increases Moderately

The delinquency rate among KBRA-rated U.S. commercial mortgage-backed securities increased moderately in April to 4.67%, according to KBRA, New York.