Business

The Role of Infrastructure in Lagos Real Estate Value by Dennis Isong

Let’s break down why infrastructure is the ultimate game-changer in Lagos real estate.

Published

11 months ago

March 1, 2025

OCHEFA

281 Views

If you want to understand the Lagos real estate market, forget all the fancy jargon for a minute.

Just think of infrastructure as the soul of property value. A house without good roads, electricity, water, or even security is like a designer shoe with no sole—fine but useless.

In Lagos, infrastructure plays a big role in shaping real estate prices.

The same plot of land in two different locations can have an N50 million difference just because one has better roads, drainage, or proximity to a major highway.

Let’s break down why infrastructure is the ultimate game-changer in Lagos real estate.

1. Good Roads = Good Money

Let’s say you have two plots of land—one along a well-paved road and the other inside a swampy, pothole-infested area. Which one would you buy? The answer is obvious.

Lagos traffic is already enough stress; nobody wants to add bad roads to their suffering. That’s why areas with smooth, wide roads see property prices skyrocketing. Look at Lekki Phase 1, for instance.

When the Lekki-Epe Expressway was a narrow, chaotic mess, properties were still relatively affordable. But once the road was expanded and better maintained, land prices shot up like fuel prices after a subsidy removal.

Now, compare that to some areas on the mainland with roads that look like they survived a bomb blast. Properties there remain cheap, not because they aren’t valuable, but because buyers calculate the stress of bad roads into their final decision.

2. Drainage and Flood Control

Nobody Likes Swimming in Their Living Room Every Lagosian knows the pain of flooding.

When rain falls, some streets turn into rivers, and landlords start offering “canoe-inclusive” rent deals. But in places with proper drainage, real estate value remains stable, rain or shine. Victoria Island, for example, had serious flooding issues in the past.

But as drainage systems improved, property values remained strong.

Meanwhile, areas with poor drainage, like some parts of Ajah and Ikorodu, see land values drop during rainy seasons because buyers fear their future homes could become water parks.

Investors and homebuyers are now paying more attention to drainage systems before putting their money into properties.

A house is not cheap, so nobody wants to spend millions only to start living like Aquaman.

3. Power Supply—Because Generators Are Not Luxury

Electricity is one of Lagos’ biggest real estate influencers. Areas with steady power supply command higher rent and property prices. Why? Because the alternative—buying fuel for a generator—is both expensive and frustrating.

Places like Ikeja GRA, Victoria Island, and parts of Lekki have relatively stable power, and landlords use that as a selling point.

On the other hand, areas with epileptic power supply lose value over time. People are now considering solar-powered estates and communities where electricity is stable before making buying decisions.

4. Transportation—BRT, Rail, and Your Property’s Worth

One of the smartest real estate moves in Lagos is to buy property near upcoming transport projects. Why? Because the moment a major road, rail, or even a bridge is announced, land prices start rising like agege bread in hot weather.

When the Lekki-Epe Expressway toll gate was introduced, property prices in Ajah and beyond started climbing.

The same thing is happening with the Lagos Blue and Red Rail Lines. Areas close to the rail stations, like Alagbado and Agbado, are experiencing a surge in demand because people are preparing for easier movement.

Nobody likes spending four hours in Lagos traffic. If your property is near a transport hub that reduces stress, its value automatically goes up.

5. Security—Safe Neighborhoods, High Returns

No matter how fine a house is, if the area is a crime hotspot, buyers and tenants will run. Security infrastructure—streetlights, CCTV, police presence, gated communities—adds serious value to properties.

Banana Island, Ikoyi, and some parts of Lekki Phase 1 are expensive partly because of their tight security.

Compare that to some areas where robberies are common, and you’ll see why people are willing to pay a premium for peace of mind.

6. Social Amenities—Schools, Hospitals, Malls, and Fun Spots

A house in an isolated bush with no schools, hospitals, or supermarkets nearby is just a fancy prison. That’s why areas with top schools, healthcare centers, and entertainment hubs always see higher real estate demand.

Look at places like Ikeja, Lekki, and Surulere.

The presence of good schools, hospitals, and malls means families are willing to pay more to live there. Investors know this, so they buy early before development fully sets in.

The Government’s Role—When Infrastructure Meets Policy Infrastructure development is not magic; it takes government planning, funding, and execution.

The Lagos State Government has been actively pushing major projects to boost real estate value across different areas.

For example:

• The Lekki Free Trade Zone:

This project is turning Ibeju-Lekki into a goldmine. With the Dangote Refinery, Deep Seaport, and Free Trade Zone in full swing, land prices in this area have jumped significantly in the past few years.

• The Fourth Mainland Bridge:

Once this long-awaited bridge becomes a reality, expect a massive real estate boom in areas like Ikorodu, Ajah, and Epe. People are already securing land there in anticipation.

• The Lagos Rail Mass Transit (Blue and Red Lines):

These train lines will reduce commuting stress, meaning properties near stations will become more attractive and valuable.

When the government invests in infrastructure, real estate investors should pay attention. It means they are indirectly boosting property values in those locations.

How to Invest Wisely—Spot the Next Big Infrastructure

Move If you’re planning to buy property in Lagos, don’t just focus on “popular” locations. Instead, look at upcoming infrastructure projects. These areas are where you’ll get the best long-term returns. Here’s how to spot a good investment:

• Follow Government Announcements: Any major road, bridge, or transport project will affect real estate prices in that area. Stay informed.

• Check for Early Development Signs: When big businesses start moving into an area, it’s a sign that value will rise soon.

• Look Beyond the Present Condition: Some places may look like “bush” now, but with infrastructure, they will turn into prime locations.

Epe is a perfect example—five years ago, it was just a quiet town. Today, it’s one of the fastest-growing real estate hubs in Lagos.

• Buy Before the Boom: Once the infrastructure is completed, land prices jump dramatically. The best time to buy is when development is just starting, not when it’s fully established.

Infrastructure is the Key to Lagos Real Estate Wealth

In Lagos, infrastructure determines whether a property is worth millions or remains stagnant. Roads, electricity, drainage, security, transportation, and social amenities all play a crucial role in increasing property value.

Smart investors don’t wait for areas to become “hot” before they buy; they anticipate where the next big infrastructure project will be and invest early. Whether you’re a first-time buyer or a seasoned investor, one thing is clear: if you follow infrastructure, you’ll always find money in Lagos real estate.

Dennis Isong and team.

+2348164741041 +234802866756

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UBA Group Announces Loknath Mishra As UK CEO

Commenting on the appointment, UBA’s Group Managing Director/Chief Executive Officer, Oliver Alawuba, said, “Loknath brings an exceptional combination of global banking experience, regulatory credibility and deep expertise in wholesale and transaction banking.

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February 4, 2026

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• UBA UK CEO Loknath Mishra

United Bank for Africa (UBA), has announced the appointment of Loknath Mishra as Chief Executive Officer of UBA UK.

The appointment, which takes effect from February 2nd, 2026, reinforces the Group’s commitment to strengthening its international footprint and enhancing its role as a key financial bridge between Africa and the world.

As CEO of UBA UK, Mishra will focus on positioning the UK subsidiary as a centre of excellence for regulatory compliance and customer service, strengthening financial resilience through diversified liquidity and income sources, as well as deepening UBA’s leadership in trade, transaction, and correspondent banking in support of business flows in and out of Africa.

Mishra brings with him several decades of international banking experience across retail, corporate, investment and transaction banking, with a distinguished track record of building and leading regulated banking platforms in the United Kingdom and Europe.

Before joining UBA UK, Mishra served as Managing Director and Chief Executive Officer of ICICI Bank UK, where he played a central role in strengthening the bank’s presence across the UK and European markets, while significantly enhancing governance, regulatory engagement, and operational resilience.

He also held other senior leadership roles at ICICI Bank Limited, including Group Head of Wholesale Banking and Global Head of Transaction Banking, contributing to the expansion of the bank’s global wholesale franchise, strengthening risk management frameworks, and leading customer-centric transformation initiatives across corporate, institutional and financial institution segments.

Mishra is widely recognised for his leadership in complex regulatory environments and for driving digital innovation across trade finance, cash management and retail banking, and in recognition of his contribution to financial services, he was conferred with the Freedom of the City of London.

His leadership will be instrumental in advancing UBA UK’s role as a flagship subsidiary for the Group and in strengthening our capacity to support trade and investment flows between Africa and international markets.”

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FG Discontinues Tax Credit by Dangote, BUA, MTN … for Roads Infrastructure

As of 2024–2025, the following companies were key participants in the scheme:

Published

5 hours ago

February 4, 2026

OCHEFA

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The federal government has discontinued the use of tax credit by companies for road development.

It was know as Road Infrastructure Development and Refurbishment Investment Tax Credit Scheme (Executive Order 007).

The Executive Chairman of Nigeria Revenue Service (NRS), Mr. Zacch Adedeji, disclosed that the system does not follow constitutional tax administration.

Adedeji said, “No matter how good a programme is, the first thing that it must have are good products. The remits of the Nigeria Revenue Service, as it were then or the Federal Inland Revenue Service is to access, to collect and to account “ for taxes.

“Appropriation is not part of the remits of the Nigeria Revenue Service or Federal Inland Revenue Service. So when you give tax credits for roads it is an appropriation act, because you spent the money, but your remit is to collect and give it to the constitutional body that will sign that money. Which is the Federation Account Allocation Committee (FAAC).

And who says that that money is yours? Who says it belongs to your family? Who says it’s not students that will come and work in your factory and want to use it to pay their school fees.”

Another point he raised was that FIRS/NRS lacks the competence to know how a road is constructed, saying, “We lack competence, as Nigerian Revenue Service, because we don’t know how the road is done and that is why we stopped the use of tax credit. Whatever their taxes, let government choose the proper appropriation.”

BACKGROUND

Many major companies in Nigeria have utilised the Federal Government’s Road Infrastructure Development and Refurbishment Investment Tax Credit Scheme (Executive Order 007) to finance the construction and rehabilitation of federal roads in exchange for tax credits

As of 2024–2025, the following companies were key participants in the scheme:

Nigerian National Petroleum Company Limited (NNPCL):

As at late 2024, NNPC was one of the largest contributors, financing over 21 road projects covering over 1,800 kilometers. Projects included the Ilorin-Jebba-Mokwa/Bokani Junction Road and the Lagos-Badagry Expressway.

Dangote Group (Dangote Cement Plc):

A prominent participant, having worked on the Apapa-Oshodi-Oworonsoki-Ojota Expressway and the Obajana-Kabba road in Kogi State.

BUA Group (BUA International Limited): Involved in the construction of major roads, including the Bode-Saadu-Lafiagi road, Eyinkorin road and bridge, and the Okura Road, aiming to complete over 500km of roads by 2026.

MTN Nigeria Communications Plc: Engaged in the rehabilitation and reconstruction of the Enugu-Onitsha expressway.

Nigeria LNG Limited (NLNG): Provided funding for the Bodo-Bonny road and bridge project in Rivers State.

Access Bank Plc: Involved in fixing the Oniru axis of the VI-Lekki circulation road in Lagos State.

Mainstream Energy Solutions Limited: Undertaking the construction of the Malando-Garin Baka-Ngwaski road and rehabilitation of the Mokwa-Nasarawa road in Niger State.

GZI Industries: Re-constructing the Umueme village road in Abia State.

Others: Lafarge Africa Plc, Unilever Nigeria Plc, and Flour Mills of Nigeria Plc.

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NAFDAC presents alcohol survey reports backing ban

Rivers and Lagos State lead in the consumption of alcoholic drinks sold in sachets and Polyethylene Terephthalate bottles among minors and underage persons.

Published

15 hours ago

February 3, 2026

OCHEFA

27 Views

The National Agency for Food and Drug Administration and Control (NAFDAC) on Tuesday made a publication presentation of alcohol consumptions survey.

This is in response to the MAN , NECA, FOBTOB, among other industrial stakeholders querying its recent ban on sachets alcohol in packet sizes and PET bottles.

NAFDAC Director-General, Prof. Mojisola Adeyeye, said during the presentation of the survey reports that the study was conducted in collaboration with the Distillers and Blenders Association of Nigeria and carried out by Research and Data Solutions Ltd, Abuja, surveyed 1,788 respondents across six states between June and August 2021.

“Rivers and Lagos State lead in the consumption of alcoholic drinks sold in sachets and Polyethylene Terephthalate bottles among minors and underage persons” , she said.

The agency said that the report examined access to alcohol and drinking frequency among minors (below 13 years), underage (13–17 years), and adults (18 years and above).”

Alcohol remains “one of the most widely used substances of abuse among youths” and noted that “the availability and easy access to alcohol have been identified as a contributory factor to the increasing alcohol consumption among minors.”

54.3 per cent of minors and underage respondents obtained alcohol by themselves.

Nearly half (49.9 per cent) purchased drinks in sachets or PET bottles, with Rivers State recording the highest rates — 68.0 percent for sachets and 64.5 percent for PET bottles.

Lagos followed with 52.3 percent and 47.7 percent, respectively, while Kaduna recorded 38.6 percent sachet and 28.4 percent PET bottle consumption.

“The proportion of drinks procured in sachets was higher among males (51.4 percent) compared to females (41.5 percent), and more in rural (50.1 percent) compared to urban (45.3 percent) locations.”

The report also revealed that minors and underage respondents also accessed alcohol from friends and relatives (49.9 percent), social gatherings (45.9 per cent), and parents’ homes (21.7 per cent).

It said that among those who bought alcohol themselves, 47.2 percent of minors and 48.8 percent of underaged respondents procured drinks in sachets, while 41.2 percent of minors and 47.2 percent of the underaged bought PET bottles.

On consumption frequency, 63.2 percent of minors and 54.0 percent of underage persons were occasional drinkers, but 9.3 percent of minors and 25.2 percent of underages respondent reported drinking daily.

The report urged stricter regulation, noting that “access to alcohol by children can be limited if pack sizes that can be easily concealed are not available.”