The delinquency rate among commercial mortgage backed securities (CMBS) rose in eight of 12 months in 2011, according to a report released Wednesday by Trepp. Most recently, the rate rose seven basis points to 9.58 percent for the month of December. This rate is up from six months ago and one year ago when the rate was 9.2 percent, respectively. Trepp “view[s] this as the first of a six to twelve month stretch where the rate could increase by 75 basis points in aggregate,” as loans originated in 2007 begin reaching their balloon dates.
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