2009 Property Money Locations
Posted by Debo on January 14th, 2009
In my last article in 2008 I tried to prepare you for the real estate investment opportunities in 2009, I shall be continuing along that line in this article also by identifying areas or call it locations you should be looking at if you plan to make the kind of money you have always dreamt of this year.
The global recession not withstanding, 2008 could not be said to be a bad year in the real estate investment arena. In fact, it was a fantastic year, what with properties appreciating by huge percentages in record time. Crown Estate Libra type of house (4 Bedroom Duplex) moved from N26.0million per unit to N42.0million in 9months. That’s about 61% appreciation in value. Once the major parts of Victoria Island were commercialised, prices went berserk. Now, property values are been reported in the billion naira range on the island. Whatever you are looking for is either in a fraction of a billion, over a billion or a couple of billions. Suddenly millions, even hundreds of it is going out of fashion on the Island.
Duplexes in Magodo now go for between N60m to N80m from a January 2008 price of about N40m.
Even the mass housing market reflects the trend, the Ogun Mega City Projects like Prime Estates and the likes appreciated by about 60% from N500,000 in January to N800,000 since April and revving to go higher shortly.
The influx of Capital market investors towards the tail end of 2008 as a result of the gloominess in the Stock market only helped in ensuring the progressive climb in value.
Although the market experienced a slow down between October and November 2008 it appears things have started picking up again.
Having experienced all these now is the time to project for 2009 and looking at the trend I will like to suggest possible investment locations where exceptional possibilities exist for money making in the new year.
Magodo-Isheri: Due to the fact that Magodo-shangisha is approaching full development the spill-over effect will result in the increase in activities in adjoining estates to which Magodo-Isheri estate belongs. This is a prime place for residential properties, especially duplexes.
Omole 2: It is my believe that the spill-over of Magodo-shangisha will also get here. Short-letting apartments, Hotels and other commercial properties will thrive here in 2009.
Arowojobe Estate, Mende and Maryland: Any serene neighbourhood where there is opportunity for development on the mainland will always be a hot spot. By serene I mean a measure of support structure like drainage, motorable road, and good layout. This is because things like these are scarce and value is bond to grow in the direction of such locations.
Ikorodu : My choice of Ikorodu is based on what happens with the 4th Mainland bridge. Connecting Ikorodu with Ajah, Lekki and by extension Victoria Island will definitely open it up to more prospects thereby impacting property values positively.
Lekki: Especially towards and around Eleko area. These projects; Free Trade Zone, Export Processing Zone, Cargo Airport, Golf Resort, e.t.c and as I gathered, the extension of Lekki-Epe Expressway will favour property investment in that axis.
Omuwo-Odofin, Festac, Okota: The road construction activities of Lagos State Government are being commended and I can authoritatively say that it will open these places up for more pressure thereby driving value towards the sky.
Badagry, Agbara, Igbesa: Imagine a 10 lane road running through Okokomaiko with a working rail system, value will go up like a bomb blast. The Lagos State PPP power project with some Asian partners, about 5 tertiary institutions (LASU, Crawford University, Gateway Polytechnic, French Village, Permanent site of Ronik Polytechnic), a tourist destination (Badagry slave camp), the Badagry beach, etc within that corridor are value drivers any day.
The Commercial areas of Victoria Island: this is for the high networth individuals or corporate bodies. You can more get approval for multi-storey office complexes on most streets in Victoria Island.
Along Lagos-Ibadan Expressway: this remains the hotbed for what I call penny real estate. It is an emerging destination for residential home investments with enormous potential for growth. This position is better enhanced with the Lagos-Ogun Mega City Project. The influx of developers into that axis has already broken the ice and ample opportunities exist for discerning intending investors.
Abuja: The Federal Capital Territory will continue to be an investor’s delight. The investment opportunities here cuts across residential, commercial, high and low income brackets.
Other parts of the Country where there is relative peace and serious work of governance will also provide investors with good returns on investment.
I suggest you take serious look at the places mentioned above, research further and launch out for an exciting real estate investment voyage in 2009.
Happy New Year!
July 4th, 2009 at 9:33 pm
Hi Editor,
Compliments,i’m a Nigerian living in France and would love to invest in the properties sector in lagos, a while ago a friend of mine proposed a plot of land to me within Igbesa area and told me it can be found in LEKKI-EPE expressway worth N500K and told me to send the money as soon as posible in order to secure a good place within this aforesaid area but personally i can see all your evaluations of each area were specific and Igbesa could be found in Badagry and not in LEKKI- EPE expressway axis, please, could you do me a favour by helping me shed more light on this area, because i’m actually interested in the lekki-epe expressway axis and nothing less.
thanks
femi
July 17th, 2009 at 6:44 pm
Dear Mr. Femi, thanks for your mail and I congratulate you for finding out Igbesa is in Badagry/Agbara area and not Lekki-Epe as claimed by your friend.
Lekki-Epe is a fast developing area and a better return generating prospect that the Igbesa option. That’s also teh reason while it is more expensive to take on when obtainable prices are compared with that of Igbesa. If you lik eme know what your budget is, then I may be in a better position to advice. However, be ready with from about N2m upwards for an average location in Lekki-Epe close to the Free Trade Zone around Ibeju-Lekki local Government.
I can be contacted if you still need any update. I wish you the best in your investment.
Regards!
August 30th, 2009 at 6:37 pm
thanks Debo,
I’ve actually received several offers within lekki axis and mowe/ofada axis up to ikorodu, but my choice still rest in the lekki axis not only for the fact developement is obvious in this area but this area will be the mega box investment axis for the big companies and i wish to participate in this developement, my budget will come with any of your proposals if any at the moment.
I’ll kindly wait for your response.