NEW YORK CITY-In a development that appears to defy the recenttrend toward moderating increases in the CMBS delinquency rate,November’s rate shot up by 35 basis points, the steepest increasesince May, says data firm Trepp. This follows a month in which thedelinquency rate actually saw its first decline in more than ayear. However, Mission Capital Advisors’ William David Tobin seesthe rise as another manifestation of the bifurcation in thenational market’s recovery.

“The November numbers certainly throw some cold water on theenthusiasm that has been building over the past six months that thepeak for delinquencies was nearing,” says Manus Clancy, managingdirector at Trepp, in a release. November’s increase puts thedelinquency rate at 8.93%, just behind the all-time record of 9.05%set in September, according to Trepp. Prior to that, the monthlyincrease had tapered off from the 40-bps jump recorded in May to anaverage of 10 to 20 bps, culminating in a 47-bps drop inOctober.

However, Trepp points out that the October decline was due to asingle resolution: the Extended Stay Hotels portfolio loan. “Priorto its resolution, that loan accounted for about 50 basis points inthe delinquency calculation,” according to Trepp. “Along these samelines, once the $3-billion Stuyvesant Town loan is resolved, therewill be another 40 bps worth of delinquencies removed in one fellswoop.”