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All claims

Office CMBS delinquency reached ~12.3% (Jan 2026), a record above the 2008 peak, with ~$1.5T CRE debt maturing in 2026; separately ~$300B of private credit sits in semi-liquid retail-redemption structures against illiquid underlying. Both are queued fragilities in the same liquidity-coupling system, with depleted absorption capacity because regional banks (>70% of US CRE) have carried three years of mark-to-model deferral.

Credithigh confidencestructural

as of June 8, 2026

What would prove us wrong

Office CMBS delinquency reverses
Trigger: < 10.7% for 2 consecutive months by Q4 2026
No large redemption gate
Trigger: zero gates on vehicles > $10B AUM through 2027

Posture implications

  • accumulateindustrial/logistics REITs with no office exposure (PLD
  • accumulateSTAG)
  • avoidregional banks with CRE concentration (NYCB
  • avoidVLY)
  • avoidnon-traded REITs (BREIT
  • avoidBCRED)
  • avoidoffice REITs (VNO
  • avoidSLG)