Trepp and CompStak Release Report Analyzing How the Pandemic is Shaping the Manhattan Retail Market

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The market disruption caused by the coronavirus pandemic worsened existing hurdles in the Manhattan CRE space following considerable cutbacks in tourism and travel. In this report, Trepp and CompStak examined the impact of the pandemic on the Manhattan retail sector amid the holiday shopping season.

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Signs of increased distress have been reflected in CMBS loans backed by Manhattan retail through rising delinquencies, reduced occupancy rates, and lower appraised value assignments, making this a segment that warrants close monitoring.

Trepp, a leading provider of information, analytics, and technology to the structured finance, commercial real estate, and banking markets has released a report to examine the impact of COVID-19 on the Manhattan retail commercial mortgage-backed securities (CMBS) market in collaboration with CompStak, the nationwide provider of commercial real estate lease comps, sales comps, and property information.

In this report, Trepp and CompStak examined the impact of the coronavirus pandemic on the Manhattan retail sector amid the holiday shopping season. Instantly access the report here: https://info.trepp.com/manhattan-retail-report-dec-2020-pr

“Signs of increased distress have been reflected in CMBS loans backed by Manhattan retail through rising delinquencies, reduced occupancy rates, and lower appraised value assignments, making this a segment that warrants close monitoring,” said Catherine Liu, report co-author and Trepp Associate Manager of Research.

Overall, retail properties in Manhattan serve as collateral for 130 CMBS loans with an outstanding balance of $5.0 billion – this accounts for roughly 3.8% of the entire retail CMBS universe and nearly 40% of the CMBS retail exposure for the state of New York by balance.

Distress rates for retail CMBS loans secured by Manhattan retail have climbed notably since the start of the coronavirus pandemic in March. Delinquency and special servicing rates for Manhattan retail climbed to an all-time high of 16.78% and 17.55% in August, respectively, up from 2.38% and 8.41% in February, as compared to historical peak levels of 3.71% and 4.39% prior to this year.

Following the recent integration of CompStak data within the Trepp product suite, joint Trepp and CompStak clients can now view property and space level leases within Trepp’s Comps application. Details such as in-place rents, lease dates, rent escalations, free rent, and other concessions are provided by CompStak and can be accessed by Trepp clients. Learn more about the integration by contacting info@trepp.com.

For access to the report which looks at the changing retail landscape by analyzing retail distress rates, shifts in average occupancy, valuation fluctuations, and more, click here: https://info.trepp.com/manhattan-retail-report-dec-2020-pr

About Trepp
Trepp, founded in 1979, is the leading provider of information, analytics, and technology to the CMBS, commercial real estate, and banking markets. Trepp provides primary and secondary market participants with the web-based tools and insight they need to increase their operational efficiencies, information transparency, and investment performance. From its offices in New York, San Francisco, and London, Trepp serves its clients with products and services to support trading, research, risk management, surveillance, and portfolio management. Trepp is wholly-owned by Daily Mail and General Trust (DMGT). For more information, visit http://www.Trepp.com.

About CompStak
CompStak is a real estate data and analytics company leveraging crowdsourced commercial lease and sale transaction data and property information combined with AI-driven analytics. CompStak's 30,000 members provide data covering the entire US, and its paying customers include the world's largest real estate investors and lenders like Wells Fargo, Tishman Speyer, Vornado, AEW, CIM, Moody’s, and many more. For more information, visit http://www.compstak.com.

Trepp Media Contact
Hayley Keen
Hayley_keen@trepp.com

CompStak Media Contact
Janice Camacho
janicecamacho@compstak.com

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Hayley Keen
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