August has been an interesting month for CMBS losses, according to Trepp. There was a decrease in loan losses from $119.0 million in July to $47.2 million in August. The latter was across $85.6 million and nine loans for an average loss severity of 55.20%. Over the last 12 months, August 2024 had the second-lowest losses incurred, with only November 2023 being lower at $36.4 million.

The 12-month average disposed balance went from $305.5 million in July to $277.7 million in August. The 12-month disposed loan count was 129 and the loan amount was $3.33 billion. Incurred losses were $2.108 billion with a loss severity of 63.28%.

The five largest loan losses in August were the Mall de las Aguilas, Washington Square, Loyalty and Hamilton, Glenwood Farms, and Bella of Baton Rouge.