Real estate industry facing unprecedented challenges – Developers
The Chairman of the Real Estate Developers Association of Nigeria, Lagos Chapter, Bamidele Onalaja, has said the real estate industry is faced with unprecedented challenges. The chairman disclosed this at the just-concluded Real Estate Developers Association of Nigeria, Lagos State Chapter’s Second Edition Stakeholders Summit held on Thursday. He said, “Over the years, real estate investment in Nigeria has become one of the major investments attracting both local and foreign investors. From the commercial city of Lagos to every nook and cranny of the nation, several individuals and companies now engage in real estate investment.“
However, the industry is faced with unprecedented challenges, such as inflation, which have led to a spike in the cost of building materials, and the adverse effect of global warming, which has seen a reduction of available land, especially in Lagos State due to flooding and erosion.
“For this reason and more, there is every need to secure the future of the real estate industry. It’s a given that real estate is the only secured investment for an assured future. However, with the challenges facing the industry globally, there is a need for us to think outside the box on ways to tackle these crises.” According to Onalaja, there must be a strengthening synergy with the government and all relevant stakeholders in the industry.
The Special Adviser to the Lagos State Governor on Housing, Toke Benson-Awoyinka, said the State was the commercial hub of Nigeria, which entailed that adequate measures were put in place to regulate every sector of the economy including the real estate industry. She noted that in recent times, Lagos had become the choice place for investors/investees, thereby conferring great responsibilities on the state government to ensure effective monitoring of real estate transactions for the benefit of its people. She said, “As a form of proactive step, the Lagos State Real Estate Regulatory Authority Law was reviewed and signed by Mr. Governor, Babajide Sanwo-Olu, precisely on Monday, February 7, 2022.“ This law mandates the Agency to regulate and register individuals/ organisations operating in real estate business transactions in the state and also maintain a database for real estate practitioners in order to curb reported fraudulent practices in this sector.
“The purpose is to boost financial transparency in real estate business transactions, protect individuals/organisations, investments both home and abroad, and prosecute investors/investees involved in fraudulent/sharp practices in the state.“ Our main goal is to transform and conform with Global Best Practices when it comes to real estate business transactions. To achieve this, the Agency frowns at anyone taking undue advantage of individuals or organizations that are in need of residential/commercial accommodation.”