The 30-day plus delinquency rate on commercial mortgage-backed securities hit a record high of 9.2% in December, up 27 basis points from the previous month, and a 300 bps jump from a year ago, according to Trepp LLC. Multifamily overdues were even worse, at an increase of 68 bps.
Analysts at the New York firm, which tracks the performance of CMBS, have been expecting delinquency rates to peak, especially with the issuance of new CMBS and workouts of troubled loans.
"The December delinquency rate of 9.2%, the highest in history for U.S. commercial real estate loans in CMBS, underscored that there still may be some nasty surprises in store even as the market shows signs of healing," Trepp analysts say in their December Delinquency Report.
Trepp also reported on Wednesday that the delinquency rate on multifamily CMBS jumped 68 bps from November to 16.48% in December.
"Multifamily remains the worst performing property type," the Trepp report says, followed by lodging properties, which have a 14.3% delinquency rate.
A year ago, the 30-day plus delinquency rate on multifamily CMBS was 9.27%.
