Office Distress Dominates Largest U.S. CMBS Markets in April 2026

CRED iQ's April 2026 analysis of the 50 largest U.S. metropolitan areas found an overall CMBS distress rate of 12.2%, with office property registering the highest distress at 17.0% followed by mixed-use at 14.6%, while industrial remained lowest at 1.9%. The report identified Providence-New Bedford-Fall River, Hartford-West Hartford-East Hartford, and Denver-Aurora as the most distressed markets, while Sun Belt metros including Miami, Phoenix, Dallas, Houston, and Atlanta posted sub-10% distress rates; multifamily distress also emerged as a growing concern at 11.4% aggregate, particularly in San Francisco-Oakland-Fremont and Minneapolis-St. Paul.