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Office, Mixed-Use CMBS Delinquencies Increase in May as Other Property Types Decline
The Trepp CMBS Delinquency Rate rose slightly in May 2025, rising five basis points from the previous month. The marginal increase from April, which already represented a four-year high, occurred despite four of the five main property types seeing decreases in their respective rates.
The two property types driving the overall increase were office and mixed-use, Trepp reported. The
office CMBS delinquency rate was up another 31 bps to 10.59% in May. Although down from the all-time high of 11.01% reached in December 2024, the office rate is still more than 350 bps higher than a year ago. Nearly $2 billion worth of mixed-use loans became newly delinquent in May, lifted higher by a couple of large loans.
Lodging delinquencies saw the largest monthly decline, dropping 146 bps to 6.39% after four
consecutive monthly increases that pushed the rate to a three-year high of 7.85%. Multifamily delinquency ebbed by 46 bps to 6.11% but is still up 441 bps year-over-year. Second-ranked retail and last-place industrial delinquency also retreated, but by smaller amounts.
- ◦Financing
