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The TreppWire Podcast: A Commercial Real Estate Show cover image

254. Data Vault Unlocked: Modifications, Maturities, Mortgages; Property Types by the Numbers

The TreppWire Podcast: A Commercial Real Estate Show

NOTE

Analysis of Value-Add Strategies, Occupancy Rates, and Lodging Delinquency

Supply side pressures are impacting the execution of value-add strategies in the commercial real estate industry, leading to potential challenges in vintage performance evaluation. Despite new construction deliveries, occupancy rates in the top 25 MSAs in the multifamily sector have remained relatively stable, with a decline from about 94% to 92.5%. The top four cities with the highest occupancy rates are high-cost or high barrier-to-entry markets, while Chicago stands out for strong multifamily occupancy. On the other hand, lodging delinquency rates vary significantly across cities, with Chicago and San Francisco leading at 42% and 41% respectively. Overall, the top 25 MSAs have an average lodging delinquency rate of about 10.52%, with the top five cities showing markedly higher delinquency rates.

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