Kentucky Banks: Highest CRE Delinquency

Definition and formula

The commercial real estate (CRE) noncurrent rate on this list is the share of a bank's loans secured by nonfarm nonresidential property, such as offices, stores, warehouses and hotels, that are on nonaccrual or 90 or more days past due and still accruing. Owner-occupied and investor-owned property are both included. Multifamily and construction loans are reported on their own lines of the call report and are not.

CRE noncurrent rate = (Nonfarm nonresidential loans on nonaccrual + Nonfarm nonresidential loans 90+ days past due and still accruing) / Nonfarm nonresidential loans

The glossary entry for Commercial Real Estate Loans explains each term, the call report items behind it and a worked example.

Which banks are ranked

This list ranks the 83 banks headquartered in Kentucky that meet every rule below, using each bank's latest FFIEC call report (data as of September 30, 2026).

• Banks with at least $100M in total assets, so a ratio on a very small balance sheet cannot lead the list.
• Banks with at least $25M in nonfarm nonresidential (commercial property) loans, so a rate on a few loans cannot lead the list.
• Lending institutions only: charters with loans under 5% of assets, mostly trust and custody banks, are not ranked.
• Charters the regulator has closed, merged or converted are excluded.
• Each bank charter ranks on its own; holding companies are not combined.

What moves the CRE noncurrent rate

The rate rises when tenants leave or rents fall far enough that a property's income no longer covers its loan payments, as has happened to many office buildings since 2020, and when a maturing loan cannot be refinanced at current rates. Owner-occupied loans depend more on the borrower's business than on the building, so a bank whose book is mostly owner-occupied tends to run a lower rate. A single large loan can move a small bank's rate by several points, so compare it with the dollar amounts and the trend.