Driven by improvement in the performance of hotel loans, delinquency on securitized commercial real estate loans was lower last month. While multifamily loans were the only category to deteriorate in December, apartment loan delinquency has plummeted more than 400 basis points over the past year.
On loans that are included in commercial mortgage-backed securities, 60-day delinquency was 7.99 percent as of Dec. 31, 2012.
The rate was down from 8.17 percent as of the end of November. It was the seventh consecutive month that CMBS delinquency was lower.
The numbers were delivered Friday by Fitch Ratings and covered performance on securities rated by the New York-based firm.
December’s activity reflected $1.7 billion in resolutions and $1 billion in new delinquencies.
Helping to pull down the delinquency rate in December were loans secured by hotels. The past-due rate on hotel CMBS tumbled to 8.87 percent from 9.83 percent in November.
CMBS loans secured by industrial mortgages saw late payments decline to 8.61 percent from 8.88 percent, while office delinquency fell to 8.41 percent from 8.63 percent and the retail rate retreated to 7.14 percent from 7.28 percent.
The only category to deteriorate last month was multifamily, with 60-day delinquency jumping to 10.12 percent from 9.92 percent as of Nov. 30.
In December 2011, overall 60-day CMBS delinquency was 8.37 percent. The rate has fallen 38 basis points since.
Multifamily delinquency has fallen 430 BPS over the past year — more than any other category. Another big mover was hotel delinquency, which was down 315 BPS.
The only other category with a year-over-year decrease in delinquency, industrial loans, had a 164-basis-point improvement.
Delinquency on office property loans has worsened 157 BPS from the end of 2011, while the rate on retail loans was up 25 BPS.
