MBA Chart of the Week: Estimated Total Commercial Mortgage Maturities
Comment of the Day

March 30 2023

Commentary by Eoin Treacy

MBA Chart of the Week: Estimated Total Commercial Mortgage Maturities

This article from US REO Partners may be of interest. Here is a section: 

This year’s survey, however, collected information on $400 billion of bank-held commercial and multifamily mortgages—23 percent of the outstanding universe. Using this year’s survey results, for the first time we are expanding our loan maturity analysis to include an estimate of the maturity profile of all commercial and multifamily mortgages—including the more than $1.7 trillion on bank balance sheets.

The analysis estimates that of approximately $4.4 trillion of outstanding commercial/multifamily mortgages, $728 billion (16%) matures in 2023 with another $659 billion (15%) maturing in 2024. Hotels/motels see the largest share maturing in 2023 (34%) followed by office (25%). Multifamily is the property type with the smallest share of outstanding mortgage maturing this year (9%).

Among capital sources, 26 percent of the outstanding balance of loans held by credit companies and other investor-driven lenders will mature this year, as will 23 percent of the balances held by depositories and 22 percent held in CMBS. Only 7 percent of life company loans and 2 percent of GSE/FHA loans come due this year.

Eoin Treacy's view

The high yield corporate sector used the pandemic to refinance. The maturity of that part of the debt market is now a lot closer to the end of the decade. Commercial real estate did not have that opportunity because vacancy rates were so high, no one was willing to throw money at them. 

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