Trepp, a leading provider of data, information and technology solutions to the structured finance, commercial real estate and banking markets, released a research report on the hospitality industry. The full report can be accessed here: https://info.trepp.com/hotel-report-april-2021-pr.

With a quarter of 2021 underway, it’s time to re-examine the accommodation industry before what appears to be the start of gradual reopenings and a return to tourism across the United States. This report provides an update on the accommodation industry based on Trepp’s research from November 2020.

“At this point in 2021, the economy appears to be showing signs of continuous improvement,” said Maximillian Nelson, research analyst at Trepp. “The Federal Reserve, fresh off the heels of a $ 1.9 trillion relief bill, has pledged to keep interest rates low and maintain an accommodative monetary policy that could, in turn, , affect the accommodation commercial real estate industry, which has been greatly affected by the Coronavirus pandemic. “

Following the recent downward trend in the overall delinquency rate, the accommodation sector also recorded in February its largest drop in the delinquency rate since October 2020, down 272 basis points to 16.38 %. For the month of March, the headline rate fell further, falling 41 basis points to 15.95%.

The rate for special accommodation services also edged down in March to 24.25%. The rate is consistently the highest among the commonly tracked CRE property subtypes, with the concentration being in the full-service, limited-service and “ other ” subtypes, with special service rates all above 20%.

Throughout 2020, Trepp also tracked the number of loans that received valuation cuts. According to the TreppInsights Business Intelligence tool, more than 440 loans have seen their value reduced since 2020, or more than $ 1.3 billion in reductions in February 2021.

For more details, such as past months hosting arrears and special service rates, largest MSAs per past due balance deposit, number of hosting loans in grace period or beyond, Newly State-Monitored Hosting Loans, and more, download Trepp’s report. here: https://info.trepp.com/hotel-report-april-2021-pr.

For daily commentary from CMBS and CRE, follow @TreppWire on Twitter.

About Trepp

Trepp, founded in 1979, is a leading provider of data, information and technology solutions to the structured finance, commercial real estate and banking markets. Trepp provides primary and secondary market players with the solutions and analytics they need to increase operational efficiency, information transparency and investment performance. From its offices in New York, San Francisco and London, Trepp offers its clients products and services to support trading, research, risk management, oversight and portfolio management. Trepp owns 100% Commercial Real Estate Direct, the source of top-of-the-range news and information for professionals in the CRE sector. Trepp is 100% owned by Daily Mail and General Trust (DMGT). For more information, visit trepp.com.

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