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After three consecutive months in which the delinquency rate on loans held in U.S. commercial mortgage-backed securities (CMBS) showed signs of leveling off, the rate re-accelerated in April, ""Trepp LLC"":http://www.trepp.com reported Wednesday.
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The New York-based research firm says the percentage of loans 30-plus days delinquent, in foreclosure, or REO climbed 23 basis points last month to hit 9.65 percent.
That number is, once again, the highest reading in the history of the CMBS market, according to Trepp. The increase in April is the biggest single-month jump since December of last year when the rate rose 27 basis points.
Based on Trepp's report, the value of delinquent CMBS loans now exceeds $62.8 billion.
In February and March, Trepp tracked the smallest rates of increase in the CMBS delinquency rate since mid 2009.
The firm notes that April's sharp and unexpected turn came despite the fact that new issuance of performing
[COLUMN_BREAK]CMBS loans has been added to the calculation, as well as evidence that a greater number of troubled loans are being resolved by special servicers â€"" both factors that inherently put downward pressure on the delinquency rate.
""With the delinquency rate showing very small increases in February and March, and CMBS lending beginning to pick up, most of us thought that the worst was behind the CMBS market,"" said Manus Clancy, managing director of Trepp. ""But instead, the month indicated that the ride to recovery won't be without some bumps along the way.""
Trepp reports that the overall percentage of loans seriously delinquent â€"" meaning 60-plus days delinquent, in foreclosure, REO, or non-performing balloons â€"" is now 8.90 percent.
By that measure, the rate was up only one basis point from March's reading.
Among the major property types, only the hotel/lodging sector saw its delinquency rate improve in April, dropping 52 basis points to 15.45 percent.
Multifamily maintained its position as the worst-performing sector with a delinquency rate of 16.77 percent, up 56 basis points from the previous month.
The industrial delinquency rate spiked 51 basis points in April; it now stands at 10.76 percent.
The retail delinquency rate moved 43 basis points higher last month to 8.15 percent, settling above the 8 percent mark for the first time.
The office sector remains the best performing of the major property types. Its delinquency rate rose just 7 basis points last month to 7.20 percent.
