Office CMBS delinquencies re-spiked to 12.2% in September, per Trepp — the second-highest ever and 1.5pp above the worst of the financial crisis. Biggest driver: a $1.1B maturity default on a Hollywoo

What happened: The office CMBS delinquency rate re-spiked to 12.2% in September, the second highest ever, driven by a $1.1 billion Hollywood loan maturity default and a $470 million Houston office loan, per Trepp. Key numbers: 12.2% September office CMBS delinquency rate, 1.5 percentage points above the Financial Crisis peak. Why it matters: Fitch changed its outlook to negative, citing lease rollover risk from Netflix and 20th Century Fox leases covering 30% of net rentable area. The extension at a below-market rate reflects extend-and-pretend until rates fall.

Office CMBS delinquency hits 12.2%, exceeding financial crisis peak as extend-and-pretend ends.

Office CMBS delinquency hits 12.2%, exceeding financial crisis peak as extend-and-pretend ends. — impact context not separately stored; see What changed.