The U.S. CMBS delinquency rate rose six basis points to 1.91% for a second consecutive month in June from 1.85% in May, Fitch Ratings reported. The majority of new delinquencies occurred in the retail and office sectors.
Fitch said new 60-day-plus delinquencies in June of $887 million, compared with $1.1 billion in May, outpaced resolution volume of $364 million, which was similar to May.
More than 81% of new delinquencies were retail (46%; $410 million) and office (35%; $310 million). The office sector also saw the largest monthly increase in new delinquencies, led by the $77-million loan on 315 W. 36th St. in Manhattan.
Maturity defaults accounted for 60% of new delinquencies at $530 million. June resolutions included $218 million of Fitch-rated loans brought current, $63 million of liquidations and $83 million of loans previously 60+ days delinquent that are now 30 days delinquent or current and removed from Fitch’s index.
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