Real Estate Headaches Turn Up at Great Southern Bancorp
by August 9, 2010 12:00 am 71 views
Some Northwest Arkansas real estate cropped up recently as possible trouble at Great Southern Bancorp of Springfield, Mo.
The two properties were among eight “potential problem loans” totaling $22.8 million listed in the lender’s second-quarter report. The bigger of the two is a “$7 million relationship secured by a residential subdivision development. The subdivision is complete; however, lot sales have been slow.”
The other is a “$6.6 million relationship secured by commercial land.”
No other details were released on these loans, which are not reflected in non-performing assets.
The company defines potential problem loans as loans that management has identified as having possible credit problems that may cause the borrowers difficulty in complying with current repayment terms.
Great Southern opened its first full-service retail banking center in Northwest Arkansas in Rogers back in May.
You might recall that Great Southern wrote off nearly $35 million it had in a stock loan to Bentonville’s ANB Financial, closed by the FDIC in May 2008.
The company has weathered setbacks well and was recognized as the No. 4 performer among public bank holding companies with total assets of $3 billion-plus with return on equity of 23.68 percent for 2009.