• Saturday, July 13, 2024
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Real estate is at stage of total digitisation- Pennek Nigeria MD

Real estate is at stage of total digitisation- Pennek Nigeria MD

Pennek Nigeria Limited is a dynamic and innovative investment company with strong focus in the real estate sector. Kennedy Nnadi, managing director/CEO of the Company in this interview reviews the business environment, efforts to boost and bring efficiency in the real estate sector of the economy, as well new investments in technology to drive operations.

Pennek Nigeria Limited is a dynamic and innovative investment company with strong focus in the real estate sector. We are positioning to be a leading real estate company that creates real estate investment opportunities for individuals and organizations.

We are Pennek Nigeria Limited, a real estate investment firm, specializing in the procurement and offering of choice plots of lands in areas proven to yield the highest returns on investment (ROI) in the rapidly developing Ibeju-Lekki axis of Lagos State.

Operating in the same economic and social environment in which you live and work means we are acutely aware that an innumerable number of things place considerable and , often unavoidable demands on your income and revenue, in the case of businesses.

We do. We are in it with you. We live and operate here too. So, we have taken the proactive step of anticipating the possibility that such a situation which can be an unavoidable part of life does not constitute an obstacle to you fulfilling your desire of owning a property or plots of lands on your own.

To forestall that, we have established strong operational relationships with our banking partners which has enabled us to put at your disposal, a financing facility which means your social and other obligations do not have to suffer for you to fulfil your dream of owning a home of your own and, neither do you have to forego that dream.

It has been 2 years since the lifting of the COVID lockdown across Nigeria. What has been the recovery trajectory of Pennek?

We made some smart decisions and policies to help us pick up from where we stopped before the COVID lockdown. Some of these decisions includes; making more affordable houses for our prospective clients and also extending the payment plan duration to allow more flexibility for our subscribers.

This is the last quarter of the year. What are your priorities and outlook for the real estate sector over the next 18 months (H2 2022 and FY 2023) including the post-election period?

Our projections for the last quarter of this year is to deliver and hand over housing units to our subscribers all over the country. Our projections for the year 2023 is expansion.

A few months ago, Abdulrasheed Bawa, executive chairman of the Economic and Financial Crimes Commission, EFCC, alleged that unscrupulous real estate developers are providing a safe haven for money laundering. Coupled with allegations of delayed delivery of development to investors in greenfield projects, how do you think the industry can clean up its image?

I think real estate companies need to work hand in hand with EFCC, as a means of checks and balances to make sure those perceived fraudulent activities are curtailed.

From its early days Pennek was renown for repackaging the exorbitant “Lekki price” of homes and making decent housing more affordable for families. In light of galloping inflation, and adverse forex rates, can Pennek continue to deliver on this customer promise?

It hasn’t been a walk in the park, but we’re aware of the economic situations of Nigerians, we try to subsidize some costs to encourage potentials to key in. We try as much as we can to deliver on our promises, and so far, we have been successful in our delivery.

Proptech has become increasingly important for broadening access to real estate opportunities. What has been Pennek’s digital transformation journey been like?

In recent years, we’ve been making our platform more digital, embracing social media platforms as a means of connecting to the world. We also have projects in Abuja and Lagos that operate with smart technologies. I strongly belief that we’re getting to that stage of total digitization.

Hundreds of middle-class professionals are opting to move out of the country in pursuit of greener pastures overseas. For the most part, these emigrants are part of your target market. Is their checking out a net-loss or a potential net-gain for real estate developers?

Of course it’s a net-loss to our industry and the nation as a whole. Those who are supposed to be purchasing properties and setting down roots are leaving the country because of the poor system we have here, investing their money over there instead of at home here. This has caused the pool of subscribers to be thinner than usual.

What impact have rising geopolitical tensions since Russia’s invasion of Ukraine had on the real estate industry?

It has really affected the real estate industry. For example, the prices of petroleum products has skyrocketed, especially diesel. Imagine running a diesel-powered plant for 24 hours multiple times a month, the amount alone is almost crippling. Also note that the increase in petroleum products affects the prices of other items in general, so now we have an all time record of inflation.