The $2.6 billion in new CMBS delinquencies last month that brought late-pays in that category to a new high of 8.76% included five loans or portfolios greater than $100 million, according to Fitch Ratings.
Each of the $100 million-plus delinquent loans/portfolios in February had been in special servicing due to an imminent default. These included $320.6 million on a New York office property, $250 million on a New York industrial property, $177.6 million on a hotel portfolio spanning various states, $114.5 million on a Pennsylvania retail property and $102.5 million on a Florida office property.
The February CMBS delinquency rate is the highest seen by Fitch since it pegged it at 8.66% in September 2010. But Fitch said in its report it expects new issuance will improve the delinquency rate tracked by its index.
"Payoffs, amortization and no new issuance in recent years have led to a shrinking of existing CMBS, so with new issuance higher than originally thought, the index will stay lower," managing director Mary MacNeill told this publication in an e-mail.
Delinquency rates by property type are as follows, Fitch said in its report: multifamily, 17.58% (from 17.40%); hotel, 14.33% (from 14.43%); industrial, 9.40% (from 8.53%); retail, 7.04% (from 6.88%), and office, 5.85% (from 5.50%).
