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•Nigeria needs N21trn to address housing deficit
By Maduka Nweke, [email protected]
Apparently looking for ways to fight the acute shortage of shelter in the country, Legrande Properties Development Company, recently unveiled the Alexander Courts Coastal City at Ibeju Lekki in Lagos.
Speaking at a forum organised by the Property and Environmental Writers Association of Nigeria, (PEWAN), the Managing Director of Legrande, Mr. Babajide Durojaiye said the Company operates under a firm corporate governance code as expressly prescribed by the Companies and Allied Matters Act & other laws governing real estate firms in Nigeria.
Durojaiye said the company is a mixed development of 2-bedroom and 3- bedroom flats tastefully designed to provide utmost comfort to our end users.
According to him, “it is enriched with economic, residential and commercial value because of its close proximity to the new Lekki Deep Seaport, Dangote Refinery, the Lagos Free Trade Zone, the new Lekki Airport & the Alaro industrial City. The estate also comes with infrastructural facilities that include; 24 Hours Electricity (PHCN Power supply & Solar Inverter Systems), 24 Hours Security (Mobile Police & Civil Security), 24 Hours central internet connection, Swimming Pool, Central Park and Playground, Gym and other recreational sports area, Central sewage system including sewage treatment plant and water treatment plant Central Mall, Health Center & much more.
In his analysis of the real estate sector of the Nigeria economy, he said that it will take Nigeria more than N21 trillions to address the menace of housing deficits in the country.
He said, “Nigeria has an estimated 28 million housing deficit as of 2023, indicating that the country needs at least 28 million housing units to provide adequately for the population, adding that an estimated sum of N21 trillion is required to provide housing units to fill the deficit. “This means the reals estate sector needs an investment of over N21 trillion to build sufficient housing for the entire population.
“However, by the annual average rate of N7.47 trillion credit to the real estate sector, it will take an estimated three years to provide 28 million housing units for the population. This is on the premise that the population remains unchanged over this period. But that cannot be the case as the population keeps increasing, creating more gaps in housing,” he noted.
He added that the Nigerian population has been growing by 3.2 percent annually, based on a 2006 population census estimate. “This grew the population from 140 million in 2006 to an estimated 242 million in 2023.
This is why housing deficiency grew from 7 million in 1991 to 28 million in 2023, leading to overcrowded and obsolete housing infrastructure. At an estimated population of 98 million in 1991, the country’s population grew to 242 million in 2023, a 148 per cent growth.
Earlier, the Chairman PEWAN, Mrs Okwy Iroegbu-Chikezie in her welcome address said the job of the journalist in this regards includes, highlighting the activities of government and her agencies in addition to private sector participation in the real estate. According to her, “we bring to fore the challenges faced by the private sector participants’ arising from government policies, multiplicity of agencies, multiple taxation, cost of obtaining Governor’s consent, the Ominile factor among others,”she stated.
The housing deficit in the country increased from 7 million in 1991 to 28 million in 2023. This signifies a 300 per cent increase over the period, doubling the increase in population.
Thus, while the population increased by 148 per cent, the housing deficit increased by 300 per cent.
In his introduction as the Ambassador of the Company, a popular Nollywood actor, Mr. Segun Arinze said,”We pride ourselves in quality, affordable, well laid out building structures and constructions, matching with global advancements and innovations. Prior to our incorporation in 2015, we were originally operating through our sister Company being Legrande Engineering Services Limited which was incorporated in 2002. Over the last 12 years, we have successfully completed over(11) estates, with proper facility and estate management, with over 500 home owners. We currently have two (2) ongoing projects”.
