Relentless Worsening In Commercial Real Estate Delinquencies

[AllentownJake]

The latest read from Fitch indicates continued worsening, in November, across a range of commercial real estate types, with the worst pain being felt in office real estate.

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Fitch Ratings-NY-16 November 2009: Job losses and subsequent office loan
defaults, coupled with continued hotel underperformance, resulted in
another monthly increase in U.S. CMBS delinquencies, according to the
latest index results from Fitch Ratings.

U.S. CMBS late-pays rose again in October, up 28 basis points (bps) to
3.86%. The office sector had the highest increase in delinquencies since
September; with 19.4% additional delinquencies followed by hotels, with
a 16.5% increase.

Delinquency rates for all major property types are as follows:

--Office: 2.29%;
--Hotel: 6.81%;
--Retail: 3.55%;
--Multifamily: 6%;
--Industrial: 3.09%.


http://www.businessinsider.com/relentless-worsening-in-commercial-real-estate-deliquencies-2009-11

[PHIMG]

1. Subprime meltdown part Deux

[HughMoran]

2. I hope the commercial real estate market crashes soon

It's been predicted as the next domino to fall in this latest downturn for a looong time now - let's get it over with.

[AllentownJake]

4. It happens every Friday

When you read the threads of the FDIC taking over banks. The difference between this and subprime is it is spread out more amongst numerous smaller institutions and not concentrated in 13 big players.

[HughMoran]

5. Who knew the collapse would be so orderly?

I guess these little guys aren't "too big to fail" :evilgrin:

[AllentownJake]

6. No and you already have legislation in place

on what to do to them when they blow up.

[upi402]

3. USA no longer makes stuff to sell to other countries.

Therefore, we will continue to lose. And the Obama free traders are no different than the Clinton Republicans were.

We are screwn. Get the plywood over the winders Jed!