Property companies Stockland and Westfield have reportedly begun talks with the federal government in an attempt to tap a $4 billion public-private scheme designed to help the sector roll over debts.
According to the Sydney Morning Herald, the remaining real estate investment players will also soon arrive in Canberra to request a share of the Australian Business Investment Partnership (ABIP), or so-called Rudd Bank, a temporary partnership between the government and the big four banks.
The partnership, headed by one-time National Australia Bank CEO-hopeful, Ahmed Fahour, aims to help provide liquidity to refinance successful commercial property companies threatened by the withdrawal of foreign banks and frozen capital markets.
It is understood that Suncorp has put a stop to all large loans to property investment companies, while Commonwealth Bank and Westpac harbour concerns about new lending to the sector, the paper said.
GMG Price at posting:
14.5¢ Sentiment: Hold Disclosure: Held
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