The Trepp CMBS delinquency rate marked its eleventh straight monthly decline in May, posting its biggest drop in three months to 6.16%. That figure represents a decrease of 36 basis points from April's number. And the percentage of loans with the special servicer fell to 8.65% in May from 9.02% in April.
The percentage of loans that were 30 days delinquent was 0.38%, a decrease of 31 basis points from a month prior. Loans in grace period—those that missed May payments but were less than 30 days overdue—accounted for 2.77% of loans, up 52 basis points for May.
Lodging and retail are seeing what Trepp's Manus Clancy has dubbed "impressive declines" in the percentage of delinquent loans. Hotel alone has seen its rate drop by 10 percentage points—and Clancy predicts that as the economic recovery continues, those numbers should continue to fall.
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