November’s commercial mortgage-backed securities (CMBS) loan delinquency index remained unchanged from October’s adjusted rate of 1.29%, reports Fitch Ratings. Overall delinquencies were down slightly between November 2003 and 2004, but both hotel and apartment loans experienced a slight increase in new delinquencies. In November, for example, 19 new multifamily loans were reported as 60 days delinquent.
"Just as we saw last month [October], more than half of the 19 newly delinquent multifamily loans, representing 77% of the collateral, were located in Texas," says Mary O’Rourke, a senior director at Fitch Ratings.
The overall rate of delinquent office and retail loans declined. Meanwhile, overall retail loan delinquencies fell 8% despite the addition of 19 new retail defaults. Unlike the multifamily loans, there was no geographical pattern to the new retail delinquencies, says O’Rourke.
"A single office loan default in San Mateo, Calif. was responsible for more than 50% of the $46 million in new office delinquencies. In all, only seven new office delinquents were reported in November," adds O’Rourke.