National CRE News In Your Inbox.
Sign up for Connect emails to stay informed with CRE stories that are 150 words or less.
NYC Leads Metros in Delinquency Balance, But Not Rate
Although the New York-New Jersey SMSA has the highest CMBS delinquency balance at $4.7 billion as of October, it doesn’t have the highest rate, Trepp reported. The metro area’s delinquency rate stands at 2.59%, the fourth highest rate among the top 10 metros by delinquency balance.
“This is positive news considering that at the height of the pandemic, in June 2020, the delinquency rate for the New York-MSA stood at 7.05%,” according to Trepp. “This means in the past nearly 18 months, the delinquency rate dropped more than 400 basis points.
Other MSAs including Chicago-Naperville-Elgin and Houston-The Woodlands-Sugar Land have seen drops of more than 800 bps. These substantial drops across all MSAs shown in the top 10 show “great signs of growth and recovery across many areas in the U.S.,” according to Trepp.
The highest delinquency rate among the top 10 by balance is New Orleans at 11.16%. At 0.95%, Los Angeles-Long Beach posted the lowest rate among the top 10.
- ◦Financing
