Moody’s: CMBS delinquencies up to 9.36% in September

The delinquency rate of loans in commercial mortgage-backed securities rose in September while total issuance fell as more seasoned loans left CMBS than new deals came into the sector, according to Moody’s Investors Service. Analysts said the rate of delinquent loans increased to 9.36% from 9.01% in August. The rate has stayed higher than 9% for all of 2011. The delinquency rates for all five property types rose in September from the prior month and are higher than the year earlier: retail to 7.11% from 7.08% in August; office to 8.16% from 7.36%; industrial 11.39% from 11.2%; hotel 14.81% from 14.56%; and multifamily 15.33% from 15.21%. One new CMBS deal worth $1 billion priced last month and was more than offset by the $5.9 billion of legacy CMBS that exited the space during September, lowering outstanding CMBS to $594.6 billion, according to Moody’s. The balance on delinquent loans rose by $1.7 billion in September to $55.67 billion from $54.01 billion a month earlier. The number of total delinquent loans fell to 3,828 from 3,844 in August. Write to Jason Philyaw.