Vice President Yemi Osinbajo has emphasised the need for Public Private Partnership (PPP) in the real estate sector if the housing deficit across the country must be addressed.
He said there was a need for the various levels of governments to work with the private sector so as to redefine the real estate industry for the future in Nigeria.
The vice president gave the advice recently while commissioning Phase One of the Westlink Iconic Villa, a joint venture project between Odu’a Investment Company Limited and Chapter 4 Estate Management Ltd.
The project comprises 67 units of five-bedroom detached apartments; four-bedroom semi-detached duplexes and three-bedroom apartments constructed at Alakia in Ibadan, the Oyo State capital.
The vice president explained that the project was a confirmation that there is a huge investment opportunity in the real estate industry in the country if the government provides an enabling environment.
He said: “I will advise that we look to the private sector for investments to galvanise growth in the sector. The Nigerian business environment has been coloured and polarised with lots of challenges spawning fear as a result of insecurity, uncertainty, political, environmental and cultural disparities.
“In spite of these challenges, Nigeria is slowly but surely checking the boxes when it comes to the ease of doing business, resulting in the country being one of the topmost hubs for business, trade and investment.
“Nigeria is ranked 131 out of 190 economies in the world on ease of doing business, according to the latest World Bank ratings. This is an improvement after moving 15 places from 146 in 2018.”
Osinbajo said in pursuit of the present administration’s goal to further improve Nigeria’s ease of doing business ratings, President, Muhammadu Buhari inaugurated the Presidential Enabling Business Environment Council, which was chaired by himself in July 2016.
“No doubt, the ease of doing business reforms in Nigeria and the appeal to Nigerians in the diaspora, encouraged what we are seeing here today through this magnificent joint venture project between Odu’a Investment Company Limited and Chapter 4 Estates Management Ltd. UK,” he added.
Oyo State Governor, Seyi Makinde, who was represented by his Deputy, Bayo Lawal, said almost four years after the foundation of the estate was laid, “it is heart-warming to see that the trust reposed in his government by the business community has continued to wax even stronger as more businesses are making the state their preferred destination.”
The governor said he was happy to report that on a daily basis “we are beginning to see our vision of an Oyo State lifted from poverty to prosperity materialise fast. In different parts of the city of Ibadan and the state, world-class estates of this nature are springing up, affirming the fact that our determination to take the state to greater heights is a realisable objective.”
In his welcome address, the Group Chairman, Odu’a Investment Company Ltd, Otunba Abimbola Ashiru, noted that the real estate industry in Nigeria had continued to experience steady growth over the last two decades.
He said: “The next couple of years will be very exciting for the real estate sector, especially with the emergence of a new generation of potential home owners and renters who are technologically savvy and prioritise comfort.
“One component of the Nigeria property market’s evolution, which I believe can make the market more vibrant, is an efficient mortgage sector. With the amount of pent-up demand for property in the local market, if the right mortgage terms are available, I believe that originating 100,000 residential mortgages per annum is very possible.
“We at Odu’a Investment Group are bullish about the immediate future of the Nigeria real estate industry. As one of the largest holders of real estate assets in the country, we see first-hand the immense opportunities across the residential, commercial and industrial segments of the sector.
We plan to develop new, and build on existing partnerships to help meet the growing demand for modern and first-class property and living environments.
“Overall, our partnership with Chapter 4 Estates Management Ltd has been productive and it demonstrates the value of working with partners who are committed to delivering quality. This is a model that the Odu’a Investment Group believes in and will continue to pursue for future real estate developments.”
