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Office Leads February Decline in CMBS Delinquencies
The Trepp CMBS Delinquency Rate decreased again in February 2025, with the overall delinquency rate decreasing 26 basis points to 6.30%, with CMBS 2.0 loans ending the month at 6.18% delinquent. This is the second consecutive month in which the overall rate decreased, following six consecutive months of increases from 5.44% this past summer.
The decrease in the overall delinquency rate was driven again by the office sector, with the office rate falling 45 basis points to 9.78%. This continues to be a welcome relief for the sector, which reached an all-time high of 11.01% at the end of 2024, according to Trepp.
Outside of the office sector, three of the remaining four major property types also experienced decreases in their respective delinquency rates, except for lodging. Rate movements were relatively muted in February, with lodging’s 20 bp-increase standing as the second-largest change after office’s decrease.
- ◦Financing
