Commercial lender Think Tank is looking to exploit a lack of competition in the sector following an exodus of commercial lenders during the financial crisis.
Think Tank chief financial officer Jonathan Street said the group was "actively back in the market" and building originations, having gained increased access to mezzanine capital.
The financial crisis fallout saw lenders including Challenger, Austrlaian Unity and Suncorp exit the market, accompanied by mortgage trusts including Mariner Mortgage Trust. Barriers to entry to the market are also currently high, due to difficulty in obtaining funding.
The result created a "rare opportunity in the Australian market", Street said.
Competitors include Liberty Financial, Bendigo and Adelaide Bank and La Trobe Financial, though Street says the pool of competition is "quite paltry" at present.
The push by Think Tank is coming due to a "cautiously optimistic" outlook, though Street said the sector heavily depends on the liquidity of foreign capital, with the current financial woes being experienced in Europe, Japan and North America threatening growth.
Street said while there was a "clean out" of brokers in the sector during the crisis, the stronger brokerage businesses that are still around are doing "reasonably well".
Latest Comments