At the last GPS board meeting we reviewed the various factors affecting the development market and the overall uncertainly in the air.
A decision was made to slow lending velocity at GPS and be even more careful about exposure levels.
Despite this, GPS is still open for business.
We are now looking for loans for settlement in the December 2018 to February 2019 period. The preference from both credit and investors is for loan sizes between $3 million and $8 million.
Larger loans up to $15 million will still be considered on a case by case basis.
Townhouse developments remain in favour. Unit developments in under-supplied areas are still ok.
Due to issues with apartments in the inner ring of Brisbane, we have spread our geographical base to include the Gold and Sunshine coasts, and all areas in between.
We are still able to write loans at a sub 10% interest rate.