NEW YORK–A new analysis offers an updated analysis of CMBS office loans.
The update found office loans were struggling, the office delinquency rate was at a five-year high of 4.50% and had increased each month of the year, and was weighing on the overall CMBS delinquency rate.
“Fast forward to the present, and office distress has escalated,” said Trepp in its analysis. “The office CMBS delinquency rate currently sits at 8.09%, over 300 basis points higher than one year ago. The special servicing rate for office properties is also substantially higher at 10.79%, over 350 basis points above the 7.24% mark from one year prior. This distress affects more market participants today since the volume of 2024 CMBS office maturities exceeds the 2023 total.”
The full update can be found here.