Office CMBS Delinquency Rate Spikes to Record 11.7%
Extend-and-pretend and forbearance deals widely implemented to “cure” delinquent CRE mortgages. The office and multifamily sectors of commercial real estate loans got further bludgeoned in August, despite large-scale extend-and-pretend and forbearance deals executed in the hopes for better times and lower interest rates and more demand so that lenders don’t end up with the property and a huge loss. The delinquency rate of office mortgages that have been securitized into commercial mortgage-b