A Third of Office Mortgages Packed Into Bonds Are at Risk of Default

  • Some $52 billion of loans have defaulted or might, Kroll says
  • Chicago leads list of cities with largest share of risky loans
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About $52 billion, or 31%, of all office loans in commercial mortgage bonds were in trouble in March, according to KBRA Analytics.

That share is up from 16% a year ago, according to the firm. Some cities have bigger headaches than others, with Chicago and Denver offices having 75% and 65% in jeopardy, respectively.