The commercial mortgage-backed securities delinquency rate improved by double-digit basis points in November, fulfilling Trepp's forecast for a large monthly improvement, according to Trepp.
The rate of U.S. commercial real estate loans embedded in CMBS fell 10 basis points in November to 5.13%, compared to October, representing a 62-basis-point decline for the year, Trepp said.
About $1 billion of CMBS loans became newly delinquent in November. Total delinquencies stood at $26.4 billion.
Trepp had predicted an improvement in November because of Blackstone Group's $5.3 billion acquisition agreement for the Stuyvesant Town/Peter Cooper Village housing project in Manhattan; the agreement is expected to produce the resolution of a defaulted $3 billion loan. However,
In November, four of the five major property sectors saw improvements in their delinquency rates. Loans tied to the lodging industry posted the biggest rate of improvement, as delinquencies improved by 42 basis points to 2.75%. Office property loans was the only category to worsen.
