Suncorp is maintaining a quick rate of growth in commercial and agribusiness lending, which, it says, is largely being funded by an increase in retail deposits.Suncorp said that total lending in its core bank increased two per cent over the March 2013 quarter, to A$46.7 billion.Home-lending increased by 1.9 per cent, business lending by 2.8 per cent, commercial [development] lending by 3.3 per cent and agribusiness by 2.1 per cent.Balances in its non-core bank are declining faster than expected, which will leave the group "well placed to review its strategic options" in the middle of the year, according to a quarterly review released on Wednesday.The bank's non-core portfolio underwent a reduction of $0.4 billion over the quarter. Suncorp said the loans in the non-core bank were around 17 per cent of their original size and now represented six per cent of the bank's total lending assets.Suncorp said it expects the non-core portfolio to reduce to below $2.7 billion by June 2013, which compares with the most recent projection of $3 billion by that date.The bank said conditions in the development finance property market "remain challenging with excess supply in some areas, particularly for higher-end product and vacant land.""Sale opportunities are evident for completed projects and the pace of sale has picked up in some sub markets over the past few months."It said refinancing markets in corporate and leasing "are generally robust… although appetite remains exposure-specific. Many customers have favourable pricing terms and this has discouraged refinancing.""Property price depreciation" in commercial property has "constrain[ed] refinance activity", however, said Suncorp.