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Overall CMBS Distress Hits a 2026 High
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Commercial Observer
CRED iQ‘s July 2026 reporting period data looks to provide exactly that with a loan-level view of distress across the $600 billion-plus CMBS universe, broken out by servicing status, deal type, property type, and metro area.
Three numbers that matterOverall distress rate (10.91 percent): This captures every loan that is either specially serviced or 30-plus days delinquent, the broadest lens on portfolio stress.
Why the gap between special servicing and delinquency mattersThe widening spread between the two rates is itself a signal.
Where the distress is concentratedThe blended 10.91 percent headline masks real dispersion by property type.
Office is the clear outlier at a 16.65 percent distress rate, roughly 53 percent above the market-wide average, with special servicing, not just missed payments, driving the sector’s stress.