CMBS delinquency rate breaks through 3% threshold in February

The Trepp U.S. CMBS Delinquency Rate for February has broken the 3 percent threshold and is now at 2.87 percent, falling 15 basis points, according to Trepp. This is another post-crisis low for the rating.

The delinquency rate is 164 basis points lower year-over-year. The reading started to fall after the June 2017 report when CMBS delinquencies registered 5.75 percent. Since then, the rate has fallen in 18 of the past 20 months. The all-time high of 10.34 percent came in July 2012. One year ago, the U.S. CMBS delinquency rate was 4.51 percent, while six months ago, the rate was 3.64 percent.

Breaking it down by property types, lodging dipped four basis points to 1.49 percent and remains the best-performing major property type. Industrial rose 12 basis points to 2.17 percent and multifamily moved up 34 basis points to 2.31 percent. Office declined 34 basis points to 3.13 percent, while retail, which remains the worst-performing major property type, fell 15 basis points