By Chinenye Anuforo
Nigeria’s persistent housing deficit, currently estimated at over 20 million units, continues to grow, exacerbated by population increases and rapid urbanization. While the numbers are daunting, Noah Ibrahim, CEO of Novarick Holdings, a real estate investment and development company, believes the core of the problem lies not just in the quantity of homes, but in fundamental systemic failures.
Ibrahim argued that a significant disconnect exists between real estate development and the realities of the average Nigerian. “When you look at the housing options available today, a large percentage of them are either out of reach or not suited for the lifestyle and income of most people. Many property developers keep building what the market cannot afford,” he stated.
He further emphasized the multifaceted challenges facing the sector: “The cost of land, materials, and finance are serious roadblocks, and the absence of a coordinated national strategy is an even bigger issue. We need to move away from seeing real estate as a luxury business. Housing is a social need, and the government needs to lead with policies that encourage affordable and sustainable development.”
While advocating for increased private sector involvement, Ibrahim commended the Lagos State Government’s ongoing efforts in urban planning and infrastructure development, specifically highlighting their push for inclusive housing initiatives, improved regulatory frameworks, and recent actions against illegal structures. At the national level, he acknowledged the Tinubu-led administration’s focus on infrastructure-led growth and its renewed interest in reforming the mortgage sector to support homeownership.
One key strategy Ibrahim proposed is the creation of large-scale, government-supported housing schemes in partnership with private developers. Such collaborations, he believes, can significantly reduce land costs, provide access to essential infrastructure, and offer more favorable financing terms. “We need to make housing accessible by spreading development to peri-urban areas and making sure those areas are connected with good roads, power, water, and schools,” he explained.
Access to mortgage financing, Ibrahim asserted, is central to resolving the housing crisis. “Without access to affordable financing, millions of Nigerians will remain locked out of home ownership, no matter how affordable we claim the housing is,” he said. This conviction led him to establish Green Mortgage, a Novarick Holdings subsidiary, which aims to provide flexible and realistic mortgage options tailored to Nigerians’ income levels, making homeownership genuinely achievable.
The current mortgage system, with contributions still below one percent of GDP, is inadequate, according to Ibrahim, primarily due to rigid access requirements. “We need flexible models like cooperative housing, rent-to-own schemes, and micro mortgages. These are the kinds of solutions that reflect the income structure of everyday Nigerians,” he suggested.
He also places strong emphasis on the critical role of planning and urban design, noting that poor planning contributes to congestion, slums, and an increase in unregulated buildings. “The housing deficit is not just about numbers. We have to think about the quality of housing we are delivering. Is it safe? Is it inclusive? Is it connected to economic opportunities?” he asked.
Recent demolitions of structures along canals and water channels in Lekki, Lagos, underscore the urgency of proper planning and legal compliance. These incidents, Ibrahim points out, also highlight the often-ignored importance of property insurance. “We’ve seen families lose everything in a day because their properties were uninsured,” he laments. This realization led to the founding of Kolanut Africa, another Novarick Holdings subsidiary, dedicated to making property insurance accessible and affordable for Nigerians. “Insurance should not be seen as an afterthought. It should be part of how we think about long-term security in real estate.”
Furthermore, Ibrahim advocated for the adoption of local materials and technologies to reduce the high cost of housing driven by reliance on imported inputs. “We need to invest in research and support local alternatives. There are materials and systems we can adopt that will significantly reduce cost and time, but we must be willing to innovate,” he asserted.
Finally, a strong data-driven approach is essential for effective planning and resource allocation. “You cannot plan if you do not know who needs housing, where they live, what they can afford, and how they want to live. We need to start collecting real numbers and using them to guide action,” he explained.
Despite the significant challenges, Ibrahim remains optimistic that the housing gap can be reduced through the implementation of sound policies and full engagement of the private sector. He urged both developers and the government to embrace a mindset of inclusion, sustainability, and long-term planning. “We do not need to build everything at once, but we need to start building with purpose. Every house should count for something. It should bring someone dignity and a chance at a better life,” he concluded.