CMBS delinquency rate increases 4 bps in March

The Trepp CMBS Delinquency Rate posted a rare increase in March. The rate is now 4.55 percent, an increase of 4 basis points from the February level. This is the first time the rate has ticked up since June 2017. It had fallen in each of the eight months since June 2017 for a total decrease of 120 basis points.

The rate is also 82 basis points lower than the year-ago level. The reading hit a multi-year low of 4.15 percent in February 2016, and the all-time high of 10.34 percent occurred in July 2012. The rate is 34 basis points lower in the year to date.

Breaking it down by property type, the industrial delinquency rate fell 23 basis points to 5.31 percentThe office delinquency rate climbed 34 basis points to 5.80 percent, making it March’s largest increase among major property types, and the retail delinquency reading dropped 17 basis points to 5.99 percent. The multifamily delinquency rate inched down 1 basis point to 2.39 percent and remains the best-performing major property type.