Past-due payments on securitized commercial real estate loans declined last month, and mortgages secured by industrial properties led the improvement.
Delinquency of at least 30 days on loans included in commercial mortgage-backed securities was
3.92 percent in December.
The CRE loan performance data was reported by Morningstar Credit Ratings LLC based on the $774 billion in CMBS it rates.
The past-due rate on CMBS loans improved from the previous month, when it came in at 4.03 percent.
A decline was also experienced versus the same month in the previous year, when the rate was 5.35 percent.
Morningstar predicts a continued decline in CMBS delinquency this year.
But the ratings agency also cautioned about a wave of
maturing CMBS loans from this year through 2017.
Making the biggest contribution to the overall delinquency rate were industrial property loans, with 30-day delinquency declining 30 basis points from November to 6.5 percent.
A 20-basis-point drop in health care delinquency put the rate at 2.9 percent for December. Also falling 20 BPS was delinquency on office property loans, which finished last year at 5.6 percent.
Hotel loan delinquency retreated 10 BPS to 4.2 percent last month, while a similar decline left the multifamily delinquency rate at 2.2 percent and the retail property loan rate at 5.0 percent.
