Trepp: CMBS Delinquency Rate Near Flat in April

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Trepp, New York, reported the CMBS delinquency rate decreased by one basis point to 7.54% in April.

But, year-over-year, the U.S. CMBS delinquency rate is up 51 basis points.

If loans past their maturity date but current on interest were included, the delinquency rate would register 9.06%, down one basis point from March, but 152 basis points above the headline rate of 7.54%. That disparity continues to highlight the role of maturities in the overall CMBS delinquency rate, Trepp noted.

The seriously delinquent rate–defined as 60-plus days delinquent, in foreclosure, REO or non-performing balloons, decreased narrowly, declining to 7.27% from 7.29%.

The percentage of loan balance in the 30-day delinquent bucket is 0.27%, near flat from March.

If defeased loans were taken out of the equation, the overall headline delinquency rate would be 7.72%, down two basis points from March.

By property type, industrial increased by 31 basis points to 0.96%–that was due to one portfolio loan going 30-days delinquent.

Multifamily also increased, up 56 basis points to 7.71%.

Lodging decreased 79 basis points to 6.52%, retail fell 31 basis points to 6.31% and the office rate dropped two basis points to 11.69%.

The CMBS 2.0+ delinquency rate was flat in April, at 7.54%.

Overall, the five largest newly delinquent loans accounted for more than $1.26 billion out of the $2.63 billion in newly delinquent loans. Forty-two percent of newly delinquent loans were non-performing matured balloons, 40% were in the 30-days delinquent category and the rest were in foreclosure or REO.