You've heard that many distressed commercial properties are facing problems in the market, but how do the numbers compare when broken down by property type and their level of distress or maturity levels? That's where the CREDiQ monthly report on payment status comes into effect!
Multifamily distress nearly DOUBLED in a month!!! from 3.7% to 7.2%
READ THE FULL REPORT HERE!
Most of it was due to a large $1.75 billion loan ($561,000/unit) backed by Parkmerced, a 3,221-unit multifamily- which has been underperforming below break-even @ 0.47x DSCR and 83.5% occupancy.
Retail’s third consecutive distress rate increase earned them the number two slot while relinquishing their leadership position from the March report. The retail segment distress rate increased from 9.5% in March to 11.9%, achieving a record level for the segment.
The hotel segment notched the third-highest month-over-month increase – gaining a full percentage point from 7.7% to 8.7%. Meanwhile, the office segment logged its fifth consecutive monthly increase by a modest 3 basis points, landing just behind retail at 11.7%.
Meanwhile, the industrial and self-storage segments continued their virtually non-existent, sub-1% distress rates
Nearly one-third of the distressed loans are current or within the grace period. The largest category was non-performing, matured at 36.8%. The closely watched performing matured category represents 9.2% of the loans.
WATCH THE ORIGINAL VIDEO HERE!
Love the show? Subscribe, rate, review, and share!
Join the Note Closers Show community today:
- WeCloseNotes.com
- The Note Closers Show Facebook
- The Note Closers Show Twitter
- Scott Carson LinkedIn
- The Note Closers Show YouTube
- The Note Closers Show Vimeo
- The Note Closers Show Instagram
- We Close Notes Pinterest
May 22 202412 min
14 min
May 14 20241 h et 6 min
12 min
41 min
1 h et 5 min
Apr 26 202443 min
21 min