Nearly $12 billion of loans in U.S. commercial mortgage-backed securities (CMBS) became newly delinquent, pushing the late payment rate up by 34 basis points from June to 3.93%, a report by credit rating agency KBRA said on Wednesday, Reuters reported. The rise in the rate reflects continued stress in the U.S. commercial real estate sector as a post-pandemic environment had more people working from home or shopping online. The total rate of delinquent loans or those that entered special servicing rose in July for the fourth straight month and now stands at 6.44%, the report said. Office loans made up roughly 35% of the newly special serviced and delinquent loans in July rated by KBRA at $898.4 million. Retail property loans came in second at 26.4%, or $683.4 million, the report said. Mixed-use properties used for both retail and office came in third at 23.7%, or $613.9 million.
