This chapter includes the following articles.
In recent years the construction market in Nigeria has been among the world’s fastest growing, forecast to have expanded by 13% in 2014 on the back of a diverse array of demand drivers, including substantial state investment in infrastructure, rising levels of foreign direct investment and rapidly increasing urbanisation rates. The authorities have launched a host of initiatives that are aimed at addressing many of the industry’s steepest challenges – high building costs, delays in public contract payments, lateness in project delivery, lack of a national building code, reliance on state infrastructure projects and poor quality standards – though the efficacy of these schemes has yet to be confirmed. In the last few years Nigeria’s real estate market has expanded rapidly, continuing a decade-long upward trend fuelled by rising per capita incomes, steadily increasing foreign direct investment, urbanisation and strong corporate demand. Even though local and foreign developers have carried out a large number of projects in recent years, in most segments demand has been outpacing delivery. As a result, the country is undersupplied in a handful of key areas, including high-quality office space, affordable housing and formal retail. Despite a range of pressing challenges, Nigeria’s real estate sector is set to continue expanding in future, albeit at a slower pace than over the past decade.
This chapter contains an interview with David Frame, Managing Director, South Energyx Nigeria.