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In the face of the economic challenges facing Nigeria, the real estate sector has been recently thriving and shooting out profit to about $2.26 trillion.
Analysts made this discovery and have projected that Nigeria's real estate sector will reach $2.26 trillion in 2024, with residential estates contributing $1.93 trillion, accounting for 85.4% of the total.
This growth however comes amid challenges such as a weakening currency, poor infrastructure, multiple taxation, and high construction costs.
Founder and Chief Consultant of B. Adedipe & Associates Limited, Dr. Biodun Adedipe made these projections at the Real Estate Outlook 2024 launch organized by the Nigerian-British Chamber of Commerce (NBCC) in partnership with FIABCI, an International Real Estate Federation.
Adedipe highlighted that the sector should grow at a compound annual growth rate (CAGR) of 7.52% to $3.02 trillion between 2024 and 2028.
He emphasized that housing development drives investments, stimulates the economy, and creates jobs. Nigeria currently faces a housing deficit of 22 million units, mostly in urban areas, accommodating about 51.7% of the population.
With the country's population estimated at 223.8 million and growing at 2.44% annually, the demand for housing is expected to rise.
To thrive in 2024, Adedipe advised businesses to embrace agility and digital technology. He emphasized the need for collaborative work environments, continuous learning, and the use of digital tools to enhance operations.
On his path, the president of NBCC, Ray Atelly stressed that the Real Estate Outlook event provides a platform for stakeholders to discuss advocacy, entrepreneurship, and professional careers in the real estate sector. However, the industry leaders expressed concerns about the misregulation of the sector, emphasizing the need for more professional standards.
