In addition, the office delinquency rate jumped 24 basis points to 10.69%, the industrial climbed up 18 basis points to 11.72% and the hotel rate increased by 11 basis points, pushing it over the 13% cliff.

The only sector that showed some time of improvement was retail, falling by 14 basis points to 8.03%. “It has been the best performing major property type, but it’s hard to say why that has done better than everything else,” Clancy says. “It might be a totally different number if GGP hadn’t been able to go through and restructure all of their loans and come up with more favorable terms, then we might be talking about a different story. But for right now, it remains the best performer.”

In a second opinion, David Tobin, principal of Manhattan-based Mission Capital Advisors, says in a statement that the delinquency rate remains elevated because all vintages of originations are experiencing negative market pressures. “These include persistently high unemployment, which directly affects office and industrial demand and secular changes in how retail real estate interacts with consumers - or doesn't as the case may be,” he says. “In addition, the continued divergence of real estate recovery between the gateway markets in the US, 48% of real estate stock above $2.5 million, and the remainder of the market, as evidenced by Moody's CPPI Six City Index, suggests that vintage CMBS loan performance will continue to exhibit similar delinquency. The overarching concern of special servicers and banks with similar loan collateral should be this continued delinquency despite generational lows in capitalization and interest rates. QE'3 should be interesting to watch play out.”