By David Agba
Determined to bridge the housing gap in the country, a private developer has concluded plans to open its range of innovative houses in the nation’s capital, Abuja.
The estate christened River Park Estate, spanning across 501 hectares of land, and grouped into five clusters, with all being developed simultaneously will be commissioned by former President Olusegun Obasanjo.
The event, which is scheduled to hold at River Park Estate will also host the Inspector General of Police, Mr. Ibrahim Idris, who will unveil the state of the art police station in the estate.
A statement by the Chairman of River Park Estate, Paul odili, noted that, “River Park Estate is an exclusive community carefully designed for upper-middle class income earners who desire unique luxury in a serene environment with easy accessibility to major areas in the city.”
Other unique features of the Estate, according to Adrian Ogun, the Vice Chairman, include – police station, asphalt surfaced road network with functioning street lights, underground drainage system, constant water supply and general electrification as well as a nine-hole members’ golf course.”
Adrian said a fully stocked health clinic and a nursery and primary school are all in operation.
Reasons to invest in real estate
The Nigerian real estate industry is easily one of the most profitable and promising investment opportunities open to Nigerians living abroad. Property in Nigeria yields a healthy return on investment for both short-term and long-term investors. Here are the top reasons Nigerians living abroad should invest in Nigeria’s real estate sector.
Creates a fresh source of income
Nigerians living abroad can acquire property for commercial use. Such investment opportunities enable you to charge renters monthly or annual rent based on an agreement. For example, you could buy a 3-storey building in one of Ikeja’s commercial districts like Computer Village and redesign it to have blocks of stores. You then rent out these stores to merchants. The more centralised the location is, the higher the rent you can charge. Another good thing about this is that the rent you charge is subject to the laws of demand and supply as well as a steady appreciation in value with the passage of time.
This provides you with a new source of income regardless of what you do for a living. You could have a job as an Auditor based in Canada and invest in the Nigerian real estate sector. With the advent of the internet, you can achieve this without having to relocate.
Opportunity for land flipping
Land flipping happens when you buy land from a seller who does not have as much knowledge as you do about the real estate market. When you buy the land, you then resell quickly for a large profit. For example, you can buy a plot of land in Ikorodu for N700,000 and resell to another buyer at N1.3 million in a space of 6 months. Before you flip a land or property, it’s important that you carry our repairs, redesign or renovations to justify the new price.
It stands out as one of the most profitable real estate opportunities in Nigeria. What you need is a trusted real estate lawyer, property agent and the money to buy the land. Your level of investment will rest largely on how much capital you have to invest. You can start with a couple of millions.
Stable and promising return on investment
Real estate investments in Nigeria yield a decent return on investment, which is the frontier of investment opportunities for Nigerians living abroad. The return on investment on other opportunities in Nigeria including stocks, exportation and the automobile industry has not been as stable as the property investments over the years. For the real estate industry, the returns are higher.
Helps you build rewarding real estate experience
When you begin to invest in the Nigerian real estate market, you realise things that you never paid attention to. For instance, if you get knowledge on a government plan to build a tertiary institution close to a rural community, that would be a perfect time to buy a land or property there. 10 years down the line, there is a possibility of making 1000% return on investment when the school is in need of hostels and accommodation for its academic and non-academic staff.
The perfect retirement plan
Investing in the real estate in Nigeria for long-term benefits is one of the best ways to ensure that by the time you retire, you no longer have to struggle with paying your rent. This is perfect for you if you plan to relocate to Nigeria upon retirement. There are also different options open to you. You could build or buy a house and rent it out. This guarantees a steady flow of income for you. If you own property within prime neighbourhoods like Ikoyi and Ikeja, your retirement is covered. If you decide to sell 20-30 years after you acquired it, you’re certain to get even more value for your investment.
Opportunities for open space leasing
This is one of the easiest ways to invest in real estate in Nigeria. How does this work? You buy a property or land in a very central location like Lekki and lease it to those in need of makeshift space. The land or space can be leased to entrepreneurs investing in different businesses. It is a win-win situation for you because while your land or property earns you return on investment, it also appreciates in value.
The government is also investing
The Nigerian government underscored its investment interest in the nation’s real estate market by rolling out N1 trillion real estate fund as part of efforts to develop the infrastructure base of the nation. If the government is willing to commit 31% of the 2017 budget capital expenditure to strengthening the property market, it is an opportunity you should take advantage of.
It is a safe investment
Investing in the real estate market in Nigeria is not as volatile as other investment options you might come across. Property investments are safe in Nigeria for two reasons. It is a paying asset and increases in value.
You don’t need to be a specialist
You don’t have to be a specialist in the real estate sector for you to invest in it especially when you are a Nigerian living abroad. Things like stocks and shares require a deeper level of knowledge to be able to successfully invest in them but with property investment, what you need is trusted real estate advice and a property website with choice listings.
For you, investing in the Nigerian real estate is a win-win opportunity for you because it has both short-term and long-term benefits. Before you invest, ensure you are armed with expert advice and tips on different parts of the Nigerian real estate industry. Technological advancement has made this easier with the online platforms that make it possible for you to access property listings despite living outside Nigeria.
Source: Private Property