Sean Barrie has some interesting insight on the US commercial real estate loans market, The Five Largest CMBS Loans to Turn Newly Delinquent in February 2018.
He writes, “The delinquency rate for US commercial real estate loans in CMBS is now 4.51%, a decrease of 32 basis points from the January level. It is now possible that the rate could break the post-crisis low from February 2016 over the next few months, which is a prediction we feel comfortable making.
Backed by a 1,074-unit student housing complex in Newark, Delaware, the $26.9 million Studio Green Apartments note was the fourth-largest new delinquency from February…With the loan now going through the foreclosure proceedings, the borrower “stated they will no longer support the property by advancing shortfalls to pay debt service and would like to transition the property to” the lender.”
Perhaps the most interesting angle for local area real estate investors. Is that the property is in Delaware and looks like it could become available sooner rather than later.
Foreclosures can often be excellent investments and from a quick look. This opportunity could be a great value-add play for a savvy multifamily real estate investor.
Some of the Google reviews, show where the savvy multi-family investor could begin: