Real estate development activities in Lagos, Nigeria’s commercial hub, fell by 14 percent in 2022, driven by heightened election uncertainty, currency challenges, and inflation, according to an Intel report. Titled “Lagos Real Estate Development Pipeline Report,” the study notes that despite this volatility, the market has remained resilient, with bright spots emerging across most sectors examined.
The report details the number of uncompleted projects in the office, residential, hospitality, retail, and healthcare sectors within Lagos State. It highlights that rapid infrastructure development in the state has created new opportunities for developers and investors. In the office sector, the development pipeline shrank to 16 percent of total stock, down from 25 percent in 2021. Meanwhile, the residential pipeline, estimated at more than 25,000 units, is insufficient to meet demand, presenting an attractive prospect for developers, especially in the mid‑low‑end segment.
Commenting on the findings, Tilda Mwai, Insights Lead at Estate Intel, said that new policies such as forex convergence could influence institutional investors’ confidence in the new government. She added, “Despite the volatility in the macro‑economic environment, the real estate market has remained resilient, with bright spots emerging across sectors such as residential and healthcare. Rapid infrastructure development has also opened new opportunities for developers and investors in Lagos and neighboring states like Ogun.”
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