6.23.20
A bipartisan group of more than 100 members of Congress delivered a letter to the White House and Federal Reserve this week asking for more government action regarding the pausing of CMBS debt payments. The letter, led by Rep. Van Taylor (R-TX), notes that the CMBS market is being significantly impacted by the COVID-19 pandemic and that “Without a long-term relief plan in the face of an elongated crisis, CMBS borrowers could face a historic wave of foreclosures starting this fall, impacting local communities and destroying jobs for Americans across the country.” At the end of May, around 7.15% of CMBS loans were 30 or more days delinquent including 19% of hotel loans and 10% of retail loans, according to Trepp.