Uptick of overall U.S. CMBS delinquencies in July, office rises further
The U.S. CMBS delinquency rate increased by one basis point (bp) to 1.92 percent in July from 1.91 percent in June as the continued rise in office delinquencies was offset by strong hotel resolution volume, according to Fitch Ratings.
New 60+-day delinquency volume of $816 million in July was below June’s volume of $887 million; the majority (83 percent; $676 million) were maturity defaults and primarily secured by office (50 percent; $404 million) and retail (37 percent; $302 million) loans.
Resolution volume increased to $692 million in July from $364 million in June; this included $537 million of loans brought current and $155 million of liquidations.
The volume of 30-day delinquencies increased to $1.6 billion from $1.0 billion in June, increasing the 30-day delinquency rate by nine bps to 0.28 percent from 0.19 percent in June. Office loans ($775 million) accounted for the largest share, representing 50 percent of all 30-day delinquencies as compared to 5