14

September 2018

Bad Banks Belt Borrowers (again!)

It appears that the Royal Commission had very little impact in stopping the banks colluding once again to lift interest rates. Only the NAB refrained at this stage, but let's see how long they can keep their grubby fingers out of the cookie jar (not very long at all I suspect!). Now I do understand the need to balance the shareholder returns with the morality of fair interest rates for customers, but the banks have had it too good for too long. We really need more competition - more banks and non-bank lenders to keep the industry honest and fair.

I read about one positive step in the right direction this week, as Sydney-based Brighten Home Loans announced that it secured $500 million in funding from a global investment bank. It plans to target borrowers that have been “orphaned” by Australian banks as a result of tighter lending policies and credit restrictions. Alleluia! Read more.

There is some more good news for Sydney infrastructure (that does not involve roads, tunnels or airports)...

  • The New South Wales government is pushing to have its Sydney light rail project ready by late 2019 with one kilometre of track left to construct. Read more.
  • Macquarie Group and Lendlease have struck a deal with the NSW government to develop two office towers above Sydney’s Martin Place, and also deliver a new underground Martin Place Train Station. The government is billing the deal as a win for taxpayers with Macquarie paying $355 million for the air rights above the new metro station. Macquarie will spend an added $637 million on the tower construction and $378.6m on the new train station. Read more.

Want your piece of the action in Sydney? We have projects from St Ives to Penrith and plenty of places in between.