In the real estate sector, innovation and quality control have been emphasised as key factors for growth and sustainability by operators and other stakeholders. This topic was discussed at a real estate summit held in Lagos, organised by Lagos Business School (LBS) and the Nigerian Institution of Estate Surveyors and Valuers (NIESV). The summit, titled ‘Building for the Future: Innovations, Opportunities and Quality Control,’ brought together government officials and industry players to explore the significance of these elements in shaping the future of real estate.
During his keynote address titled ‘Building for the Future,’ Gbenga Olaniyan, the CEO of Estate Links Limited, emphasised the importance of comprehending the ever-changing real estate market before considering investments for future generations. Olaniyan stressed that property professionals must rely on precise data and statistics to make informed decisions, highlighting the significance of adopting a long-term approach in the real estate sector. If individuals fail to embrace Artificial Intelligence (AI), it will inevitably replace the role of those in business. Thus, it becomes their collective responsibility to establish connections. It is imperative for everyone to grasp AI’s essence to avoid being left behind, as it undeniably plays a vital role in the future of construction.
Non-adherence to state property laws influences building collapse.
The Governor of Lagos State, Babajide Sanwo-Olu, held real estate practitioners accountable for the issue of building collapse, as they were not adhering to the property laws of the state. Highlighting the seriousness of the matter, the governor’s remarks were delivered by the Secretary to the State Government, Abimbola Salu-Hundeyin. Despite the obstacles faced, Lagos remains determined to overcome its housing challenges by actively seeking durable remedies. By 2035, Lagos is predicted to accommodate over 30 million individuals, as stated by him. However, tackling the issue of affordable housing for this increasing population will pose a considerable obstacle due to the state’s limited land area.
It is crucial to note that the rise in incidents of building collapses and demolitions highlights a complete disregard by the professionals for the regulatory framework. This disregard is particularly evident in terms of building approvals, adherence to environmental standards, energy efficiency, and the quality of materials used. Therefore, he emphasised the vital importance of the government’s role in consistently promoting, overseeing and implementing existing regulations and standards. This necessity arises from integrating innovative approaches and utilising quality control strategies and technologies, stated the governor.
Industry experts discussed innovation, quality control, and the future.
At the summit, three interactive sessions were held, bringing together industry experts to delve into the topics of innovation, quality control, and their profound influence on the industry’s future. Among these sessions, Tola Akinhanmi, the Head of Real Estate Finance, West Africa at Stanbic IBTC, voiced concern during a panel discussion over the past decades unstable interest rates and highlighted the far-reaching consequences they have had on cross-border transactions. He further cautioned local real estate participants against borrowing foreign currency, particularly in the absence of sufficient forex earnings to cover their dollar liabilities.
Also, the Principal Partner of Ismail & Partners, Gbenga Ismail, said that proper land titling, tax regimes, and convenient repatriation of funds are issues that must be addressed in order to increase investments in the industry. According to him, regulation should focus more on boosting investors’ confidence, as no investor would lay out money without critically examining the challenges that could hamstring such an investment. In the second panel discussion on ‘Real Estate Investment Approaches,’ Chudi Ubosi, the Principal Partner of Ubosi Eleh & Co, emphasised the enduring appeal of real estate as a preferred asset class, highlighting the significance of land banking. Ubosi further asserted that despite the presence of private equity in the real estate industry, developers have faced ongoing challenges in delivering off-plan projects due to escalating construction costs.
Other issues plaguing the sector were discussed.
Adeniyi Aromolaran, the Executive Director of Lagos State Development and Property Corporation, emphasised the need for a radical shift in conventional construction approaches to align with usability and adaptability. Aromolaran proposed creative financing as a solution to offset increasing construction costs caused by inflation. Grace Ofure, the CEO of Lifecard International, expressed her concern regarding the insufficient attention given to construction projects tailored to the needs of the elderly. She highlighted how the lack of collaboration and the presence of unhealthy competition have hindered the growth of the real estate sector. Other speakers include the Managing Director of Fine & Country West Africa, Udo Okonjo; Jide Odusolu, the Managing Director of Octo 5 Holding; Chude Osiegbu, one of the Co-founders of VENCO Africa; and Igho Fayomi, the Head Department of Estate, Lead City University,
Related Link
NIESV: Website
