Nigeria’s commercial real estate market is poised to achieve a staggering value of $362.27 billion by 2025, report by Statista Market Insights, has said.
This projection, according to the report, took into account various factors and trends in the Nigerian real estate sector.
Additionally, the report anticipated that the market would experience a consistent annual growth rate (CAGR 2025-2029) of 2.40 percent, ultimately resulting in a market volume of $398.33 billion by 2029.
Presently, Nigeria’s commercial real estate market is experiencing a surge in demand as foreign investors capitalize on the country’s growing economy.
There are numbers of ongoing commercial real estate development in the country, comprising office, retail, industrial, multifamily, hotel and warehouse.
Adding to the figure, a developer, Messrs Purple Real Estate, recently inaugurated N80 billion Purple Lekki Mall, an eight-floor mixed-use retail center, sitting on 10,000 square metres of land on Freedom Way, Lekki, Lagos.
The innovative project, according to analysts, blended retail, residential, office, and entertainment spaces into a cohesive environment, creating vibrant, walkable communities.
Within the massive mixed-use structure, the retail space plays a vital role, enhancing the appeal of the development and shaping social and consumer experiences.
Chief Executive Officer of Purple Real Estate Plc, Mr. Olaide Agboola, described the project as the “first mixed-use building in the country that is retail-infused.”
According to him, the building comprised 50 retail stores, offices, residences of 206 studio apartments, significant number of one, two, three and four beds, fitness and entertainment centers.
He explained further that the retail -infused development, which its construction started just before the COVID-19, was completed last October, and now served as a one-stop center in the neighbourhood.
He explained that the concept was obviously to co-locate and bring everything into one singular place that is easily accessible.
He disclosed that building has got EDGE certification, being the topmost certification in terms of environmental and sustainability impacts.
He explained that by merging real estate and trade, the project is creating activity by facilitating people that trade with customers.
“So internally, for Lagos, apart from urban regeneration, using this kind of facility, we’re also facilitating economic activity by putting traders in one nice city location where their customers can come and meet them,” he said.
Agboola said the valuation of the asset on a full basis was well in excess of about N80 billion.
“This includes third-party interest. This valuation was as at December 2024, excluding third-party interest,” he said.
Governor Babajide Sanwo-Olu, while performing the official ribbon cutting and unveiling of Purple Mall Lekki, encouraged the management to extend the development to other parts of Lagos.
The governor promised to continue to provide an enabling environment for investors.
“We will continue to ensure that whatever the case, whatever the challenges, or hiccups that you have, that will not be a hindrance to the visions or to the investment you want to increase. We are ready to sit with you, we are ready to discuss. I am ready to remove the red tape because it’s only when we create an enabling environment for businesses that they can flourish,” the governor said.
Since government can’t do all, the governor said that the private sector is needed to do it.
It has been argued that urbanization and population growth will continue to drive real estate’s demand in Nigeria.
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