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Property Developers to tread carefully on the property frontier in Nigeria

SEEMINGLY buoyed by the growing apathy by commercial banks to fund projects and impact of on-going reforms by the authorities, a fresh report has predicted that developers could be more cautious in property development as the market remains slow, and prepare for a shifting landscape.

The Lagos Housing Nigeria Newspapers Online Thisday Development Marketplace — 2016 Outlook Report by Residential Auctions Company (RAC) disclosed that «the next coming months and beyond will be testing times for developers as demand will probably be curtailed with clients cutting back on spending until a clearer image of the economy emerges to restore consumer confidence in the industry.

»It is expected that many of developers will tread carefully when embarking on new projects to start and location of pick is going to be a paramount factor. Also to hedge risks, developers will scale back on the size of jobs they embark upon and will seek to build up modest size jobs that can supply not more than three — ten units, that will instantly attract sales even in the off-strategy period therefore eliminating the incidence of baseless units waiting to be sold several months after end which will raise the price of keeping stock."

Given the current economic setting, the report projects that just a third of the 14,415 units now under construction will be delivered this year resulting in 4,325 units, «but unless developers can seek alternative funding asides from the commercial banks subsequently this amount mightn't be delivered.

»Some of these developments date back to over five years and there are several plausible reasons for the delay in delivery, among such causes could be a dearth of funds that may hinder the capability of the programmer to fund the advancement of the development or it may be a litigation case between parties involved. Typically it's usually the former that occurs and unless a supply of finance emerges until a solution has been found, the development will stay in limbo.

This may potentially present the opportunity for developers to pursue «Crowd funding» which is an alternative form of raising financing from several investors through an internet platform and is a relatively new concept."

The research says that 62 per cent of new housing units in the development will be delivered in the Lagos Island marketplace as demonstrated above. This should not come as a surprise since the Lekki- Epe axis still has a huge region of green field sites (undeveloped land) in Lagos.

«The future of this market appears pretty much intact as supply will continue to increase with demand and infrastructure is improved to attract more companies. We cannot categorically say that Lagos Island has more green field sites than Lagos Mainland or vice versa as there is no data to show or demonstrate this theory, accordinng to RAC Managing Director, Mr. Omorotimi Akinlose.

He explained, „Notwithstanding the reality that Lagos Island has the bulk of new components under going development, we cannot neglect or overlook that a few locations on Lagos Mainland such as; Ayobo Ipaja, Badagry and Okokomaiko also have vast amount of components in the development, an important impact of a few mass home schemes started under Joint-Venture (JV) arrangements and are still awaiting conclusion.

RAC report said: “With the ongoing rehabilitation and growth of the Lagos-Badagry Expressway and the construction of the Blue Line Lagos Rail Transport (LRT) mass transit transport system by the Lagos State Government (LASG), the Okokomaiko — Badagry axis part of Lagos Mainland has the potential to emerge as the next „Lekki“ of Lagos Mainland in the foreseeable future with reference to the delivery of new housing units in Lagos supplied infrastructures continues to improve along this axis.

»This may have a directive favorable impact on commercial activities in the positioning and will behave as a driver to lure more residents from some other locations on Lagos Mainland to migrate. The Blue Line is a 27km urban rail line which will run to Marina from Okokomaiko. There'll likewise be a Red Line which will run to Ikeja Lagos Nigeria News International Airport from Marina.

The report shown that beneath the Eko Atlantic City job, a Public-Private-Partnership (PPP) initiative involving the Lagos State Government and a private company South Energyx Nigeria Limited (a subsidiary of the Chargoury Group of Companies) under the auspices of the Federal Government of Nigeria, over 1,000 units of flats of various room sizes ranging from one bedroom to four bedroom penthouses are already under construction.

Leading the bunch of these developments are Eko Pearl Towers by ESLA International. Eko Pearl Towers are high rise residential buildings to be located in the centre of Eko Atlantic City.

It is going to comprise of five stunning residential towers on the seaport of Eko Atlantic. The towers are; Indigo Pearl Tower, Black Pearl Tower, White Pearl Tower, Champagne Pearl Tower and Aqua Pearl Tower. In total just somewhat over 560 flat units will be provided by the towers with one tower completely sold out and the very first pair of units is going to be delivered as early as 2016.

Another high rise development currently under-construction in Eko Atlantic City is Eko Energy Tower Estate being produced by oil and gas logistics company Orlean Invest West Africa a Nigerian group with over 25 years of providing corporate and real estate services. Eko Energy Estate is a premium residential neighborhood that will cover about 450,000 square meters of property and will be found in the Northwestern corner of Eko Atlantic City.

The initial period of Eko Energy Estate will consist of three high rise 20 floors residential towers which will provide about 260 apartment units of varied variety of bedrooms is likely to be delivered by 2018 and as exemplified above.
The Nation Nigerian Newspapers Online Today It's projected that by the full end of Eko Energy Estate there will be 5,000 flats in 50 — 60 residential towers.

Other prominent residential developments now in the works in Eko Atlantic City are LeReve Tower, Lagos Sky Tower and Azuri Penisula.

It really is distinct that the Nigeria is full of raging environment of disunity and conflict. This short article offers a road map towards developing oneness in Nigeria. I believe that Nigeria's unity is being woefully endangered by statements and these forces of provocations and militarization are currently signaling the nation's drop towards divorce. Merely a joined Nigeria can survive these continuing rages of turmoil and dissent. But, what're the street-atlases of the unity in Nigeria?

The Problems that are Actual are Addressed by the Government Must — at this time; the government has performed little to address the strong problems of the Nigeria that is damaged. Wherever we look, from militarism to spiritual and societal issues; the federal government did little to resolve the raging scenario. Even though committees are put in place to handle violence that is clean, the analysis remains irrelevant. In Jos; like isolating the Honest as well as the Muslims, similar to the apartheid South Africa in 1950s; the federal government is nonetheless to come up on how best to resolve this troubles with an option. The government must be focused on finding out the main reasons for these fights and have robust, normal policy to solving split and the entire situations in the united kingdom.

Nigerians Must Differentiate-- the burden of creating a united Nigeria should not just be shouldered from the federal government (though a better fat needs to be shouldered by her), Nigerians also need certainly to can be found in to ensure peacefulness and oneness reign in the united states. But, they've to prioritize. Problems that are primary must be address initially. The formulated conditions that loom into the Republic by day are great and they are being managed recklessly by the Nigerian Guardian Newspaper Archives authorities. Nigerians have to join give how their problems to be tackled by best to differentiate. This is performed through providing workshops to show the public that was general and running a group improvement plans.

Brotherhood-- this is a many need advantage in a fragmented Nigeria. Nigerians of faith, sex, and each race should get together and join hands to move onward. Sentiments that were societal and competition must certanly be ceased if Nigeria must endure being a multi-ethnic region that was. Brotherhood's kernels must begin from our residences. Parents must step in to orient their kiddies all are equal; and many deserve a complete measure of love.

Adding the Country Initial-- Yes! Nigeria initial before anything else as Mallam el- Rufai, the ex -minister of Abuja, frequently claims, " I'm an initially that is Nigerian before being Hausa " I am a Nigerian initial before being Hausa ". This is the creed that is standard that each patriotic Nigerian should have at the back of head that is his or her. Nigeria being a region connected to people-- Nigerians, which for us to call home a much better Nigeria; we have to be our place keepers, our brotheris keepers, and our country constructors. Now is the time to stop being emotional on dilemmas that are individual and started to join hands to move forwards.

Nigerians Must Prioritize-- the burden of building a united Nigeria should not you need to be shouldered by the authorities (although a greater fat must be shouldered by her), Nigerians too must come in to ensure serenity and oneness reign in the united kingdom. But, they've to prioritize. Conditions that are main must be tackle initially. The formulated issues that loom by time to the Republic are enormous and the Nigerian authorities are handling recklessly them. Nigerians have to join give on what better to tackle their issues to prioritize. This can be done through running an area improvement applications and giving workshops to illuminate most people.

Brotherhood-- it is a most need advantage in a fragmented Nigeria. Nigerians of religion, sex, and each and every race should bond and join arms to move ahead. National and rivalry comments have to be halted if Nigeria must endure like a multi-ethnic country that was. Our properties should be started from by the kernels of brotherhood. Parents should step-in to orient their kiddies all are identical; and many deserve the full measure of enjoy.

The trail-map to Nigeria's oneness can be done. The us government must run a background check around the pushes which might be overwhelming the Nigeriais unity. Nigerians too must come by to prioritize and unite themselves as Nigerians initially first. If brotherhood triumphs greetings I believe the Nigeria we've nowadays, within our tight, will soon be much more combined and tougher, as well as the authorities of individuals by the people as well as for individuals can flourish quietly.