Barely a few minutes after reading an article in the Wall Street Journal about banks finally opening the ”spigot for commercial real-estate,”the folks over at Trepp issued their monthly report on the delinquency rate for commercial mortgage backed securities(CMBS); let’s just say it isn’t good.
After two months of very minimal rate increases, the number jumped in April, 23 basis points, to 9.65 percent, “the highest reading in the history of the CMBS market,” according to Trepp.
To say the recovery is, as the report notes, “bumpy,” is putting it mildly. The rate should be going down for two reasons…