CMBS Loan Delinq
CMBS Loan Delinquencies Could Reach 7% and Beyond in 2010, says Realpoint
Source: nreionline.com
"While the calendar is turning the page on a new year, the severe problems facing the commercial mortgage-backed securities (CMBS) market will ensure that it experiences deja vu for months to come.
The delinquent unpaid balance for CMBS loans climbed to $37.9 billion in November from $32.55 billion in October, a 16% spike, according to Realpoint LLC. The increase is due largely to the financial troubles of the Extended Stay America hotel chain, which is delinquent on a $3.5 billion portion of its $4.1 billion portfolio loan.
Realpoint projects the balance of delinquent CMBS loans to grow to between $50 billion and $60 billion by mid-2010. A loan is considered delinquent when it is 30 days or more past due."