Late loan payments soar in May

Commercial mortgage-backed securities’ (CMBS) delinquencies rose last month by the highest month-over-month amount since 2009 stemming from the coronavirus pandemic, according to a real estate research firm that tracks the debt.

Trepp, in a podcast earlier this month, notes that one-fifth of CBMS loans collateralized by hotels were 30 days or more behind in payments. If debt that had either been assigned to a “watch list” or a special servicer for monitoring were included, the percentage would rise to 50%.