CMBS sees lower delinquency rate

The commercial mortgage-backed securities' delinquency rate fell to 3.09% in March vs. February's 3.12%, according to Trepp, a data provider to the commercial real estate market. However, while most sectors' rates dropped, the office market's rate continued increasing, reaching 2.61%. A year ago, it was 1.65%.

Retail's delinquency rate dropped to 6.23% from the previous month's 6.75% and 7.5% a year ago.

"Seriously delinquent" loans, which Trepp classifies as at least 60 days overdue, fell to 2.85% from 2.88% in February.

Last year, the Bloomberg U.S. CMBS Investment Grade index posted a -10.9% return, with losses in eight out of the 12 months. It has reversed to positive territory in 2023, returning 2.2% through April 7, including 2.6% and 1% gains in January and March, respectively.