Fitch Ratings' cumulative default rate for fixed-rate U.S. commercial mortgage-backed securities (CMBS) increased slightly to 13.5% during the third quarter, up from from 13.2% in the second quarter, with office sector loans driving the increase.
There were 119 newly defaulted loans for third quarter that totaled $2.2 billion, which is comparable to the second quarter's recording of 119 new defaulted loans totaling $2.1 billion.
New office defaults in totaled 43 loans and $1.4 billion in the quarter. Fitch Ratings adds that the office sector leads new defaults year-to-date at over 50%, although the office cumulative default rate still trails the other main property types.
