The Trepp CMBS special servicing rate fell 21 basis points last month to 4.91%, a marked improvement from six months ago, when the rate was 6.75%, and a year ago, when it was 8.24%. The improvement was most pronounced in the lodging sector, which registered a 49 basis point improvement to 7.93%, followed by retail, which posted a 40 basis point drop to 10.46%.

But distress continues in other pockets of the market: "Despite the loan cures representing a positive sign for CMBS and the greater commercial real estate market, elsewhere the Trepp CMBS delinquency rate rose six basis points," Trepp analysts note. "It is too early to tell whether a new trend is emerging, but special servicing rate increases in the coming months would not be surprising considering the current interest rate and economic environment."

Retail and office loans accounted for new thirds of the $341 million in CMBS transferred to special servicing in June, including the $120 million piece of the Eastview Mall and Commons loan involving that superregional mall in Victor, New York, the $60.4 million Trenton Office Portfolio, and the $31.8 million Hotel Mela Times Square.