Lannock, a market leader in strata lending, has had a stellar FY20 with annual loan book growth approaching 100% and the business transitioning to material profitability.
The performance of Lannock’s loan portfolio continues to be positive with low arrears and zero losses in 15 years and over $175m of lending.
In July, Lannock broke through the A$100m loan bookmark which is a tremendous milestone for the Company and a testament to the management team’s hard work and execution over the period.
Against a backdrop of a period with significant building defect issues including combustible cladding, Lannock is seeing significant loan demand.
The strata sector has been under intense scrutiny in recent years following the Lacrosse fire and Mascot and Opal Towers which exposed a pandora’s box of non-conforming products and building defects in Australia that can only be rectified at a huge cost. It is clear from the increased scrutiny in the market that Lannock has a great opportunity to scale its loan book over the coming years.
Lannock also expects loan demand to continue to grow due to the macroeconomic backdrop as unemployment rises and property rents fall.
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