The Nigerian real estate sector has been arguably insulated from the effects of the COVID-19 pandemic, as operators claim there are still opportunities for investors to make money in 2021.
In its latest Lagos Property market consensus report, the Nigerian Institution of Estate Surveyors and Valuers (NIESV), the Lagos chapter, established that despite the pandemic, investors could make money from the sector depending on where they channelled their funds.
The report revealed that Lagos State is divided into 7 zones – Island 1 (Lagos Island, Old Ikoyi, S/West Ikoyi, Banana Island, Victoria Island); Island 2 (Lekki Phase 1, Ikate, Osapa, Agungi & Chevron); Island 3 (Ajah, Sangotedo, Awoyaya & Lakowe); Island 4 (Ogba, Ogudu, Magodo GRA 1 (Isheri) & Magodo GRA 2 (Shangisha); Mainland 1 (Surulere, Yaba, Ilupeju & Gbagada); Mainland 2 (Amuwo Odofin, Isolo, Festac, Apapa); and Mainland 3 (Ikeja GRA, Maryland, Ikeja & Alausa).
In separate interviews, some of the operators told Nairametrics that every discerning investor could still make a fortune from the sector, as long as they are properly guided by professionals and not speculators.
Samson Odegbami, Group Managing Director, Richfield Nigeria Limited, a real estate firm, told Nairametrics in an exclusive interview that there were several opportunities for investors in the sector.
He said, “Discerning investors should take part in crowdfunding while they watch their investments grow. They can give their money to real estate firms, who will inject the fund in building estates across commercial hubs, and earn as much as 20% Returns on Investments.”
Investors could also offer their land to a developer for building whereby the developer gives them part of the building, depending on their agreement, and at the same time earn ROI on such investment.
Adedotun Bamigbola, Chairman, NIESV, Lagos chapter, told Nairametrics that potential investors could also buy real estate for the purpose of making returns on them over time. But which locations are lucrative for such investments?