Huge investments propel Lagos real estate growth
In the early 2010s, between 2010 – 2013, Lagos hit the trillion-naira mark in revenues and rose by over 145% a decade later. The State’s investments and partnerships in transportation infrastructure and real estate projects have contributed to its earnings and earning potential. Some of the State’s high-profile real estate and infrastructural investments and partnerships include;
- Dangote Refinery – sits on a land size of 2,635 hectares, 7 times the size of Victoria Island.
- Dangote Fertilizer Plant – sits on 500 hectares of land with a production capacity of 3 million metric tons of urea.
- Lekki Deep Seaport – sits on 90 hectares of land (11% of the total 850 hectares-sized Lagos Free Zone)
- Lekki Free Trade Zone – sits on a land size of 16,500 hectares and home to several industries.
- Blue Line Railway (Phase 1) – a 13-kilometre rail track linking Marina to Mile 2.
- Red Line Railway – a 28-kilometre rail track from Agbado to Ebute-Metta.
- Lagos-Ibadan Expressway – a 127.6-kilometre expressway linking Lagos, Ogun and Oyo States.
The concentration of activities of the Lekki Deep Sea Port, Lekki Free Trade Zone, Dangote Refinery, and Fertilizer Plant will expectedly drive up the population of the Lekki-Epe axis significantly, resulting in increased demand for real estate stock. This presents an opportunity for industry players (developers, investors) with offerings in the area to meet the residential and commercial needs of the influx. The newly launched Lekki Deep Sea Port will also likely relieve the overburdened Apapa and Tin Can Island Ports, further decongesting the roadways into the Apapa area and hopefully leading to a rebirth of Apapa as a choice investment location.
The operation of the Blue and Red Line railways and other transportation interventions will improve connectivity between the suburbs and central business districts, enabling accessibility of persons and goods to commercial centres and trade hubs in Alaba, Mile 2, Mushin, Oshodi, Oyingbo, and Marina. This will also boost economic prosperity by promoting the livability and residential appeal of the surrounding locations such as Agbado, Agege, Iju, Iganmu, and Yaba. The recent completion of the long-awaited Lagos-Ibadan expressway will undoubtedly boost the real estate market with uplifts in land values in Isheri, Arepo, Mowe, Ibafo, and other surrounding locations.
The 2023 Global Liveability Index ranked Lagos as the 4th least city to live in the world. Following this, in a contrasting fashion, the Time Out Index ranked Lagos as the 19th best city in the world out of the 50 best cities globally. Though still a journey ahead, the above-captioned investments are steps considered in positioning Lagos and further realising its 2030 smart city vision.