Banks Under Pressure: When CRE Delinquencies Breach Reserve Lines

DONNA DELAROSABlog

Banking and real estate are tightly interwoven. That’s never been more evident than now—when elevated commercial real estate (CRE) delinquencies are beginning to bite into core balance sheet resilience. As regulators and investors alike watch closely, banks must not treat this as a niche exposure but as a frontline risk. In 2024–2025, banks have faced a rise in CRE noncurrent …