• Wednesday, July 24, 2024
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BusinessDay

Eko Atlantic City upbeat as residential devts account for 61% of construction

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Though the developers of Eko Atlantic City were unable to achieve the projected 2020 timeline for the completion of the project’s 8.5- kilometre city wall, the city is currently upbeat as investor-interest has risen, leading to increased construction activities.

Contrary to expectations, the project as at 2023 had only moved into its fourth out of six development phases, with just 6.5km of the city wall sand filled so far, showing a slower pace than anticipated.

This year has, however, seen a significant progress in the city’s development with an increase in construction activity across various sectors. Investors with projects conceived for the long term are now moving to site with the aim of benefiting from the renewed interest in luxury residential developments.

Read also: Eko Atlantic City to contribute over $1bn to Nigerian economy

Of the current projects in the city’s real estate pipeline, the residential sector currently accounts for the largest share at 61.8 percent. Besides A & A Towers being developed by Arkland Properties and Azuri Towers by Eko Development, Le Reve Tower, one of the tallest buildings in the city, is coming on thick.

The developer has moved to site with construction progressing at a rapid pace. “Now, it has evolved to a 54-unit luxury residential development offering smart amenities, office spaces, and a gymnasium,” Dolapo Omidire, Estate Intel CEO, confirmed.

On its part, The A&A Tower is rising 22 floors, comprising basement parking, car parking over 5 floors, office spaces, shops, and residential apartments comprising 2 and 3 bedrooms.

“We are doing this to showcase what is possible with the Nigerian spirit; what anyone can achieve when determined. We wanted people to see the kind of properties we see when we travel out and to have something like that here,” Evelyn Edumoh, Arkland Properties’ Chief Operating Officer, explained to BusinessDay.

Edumoh said it’s that drive that took them to Eko Atlantic, pointing out that one of the things they do is to come into the market and give value to their clients. “So, we try to make it as affordable as possible. Our prices are way below the market and we are offering the best in class,” she said.

In an earlier report, Estate Intel had noted how the development of this city, which is fondly referred to as Lagos Dubai, is impacting significantly and positively on the adjoining Victoria Island (VI) with new investments springing up in that part of Lagos.

The development boom which the 800,000 square metres VI has seen in recent time is aided further by the Lagos State government’s Revised Model City Plan for Ikoyi – Victoria Island Model City Plan spanning 2013 – 2033.

The boom is quietly but steadily regenerating and improving the skyline of the area, especially along Ahmed Bello Way, Oluwole, Saka Tinubu and Akin Adesola streets which have been transformed in a very significant way.

Expectation is that residents and businesses within Victoria Island will benefit from the opportunities which the Eko Atlantic City offers.

“More importantly, due to the introduction of Eko Atlantic, the physical characteristics of VI have changed. This, coupled with the new development masterplan, has made room for new property investors to proceed with more aggressive development activity,” Omidire noted.

He recalled that, since early 2000s, most of the use in the region included State Liaison Offices, Governors’ Lodges and a number of old and corporate occupied residential properties, pointing out that, for the most part, State Liaison Offices and governors’ lodges were derelict and unused.

“Up until recently, we had seen minimal activity from the governors’ lodges and state liaison offices. However, recent disposals and leases show that this semi-regional landlord category is willing to do business with potential developers in need of land to execute,” he said.

As it is today, many of these abandoned and wasting properties have been acquired for redevelopment or construction of entirely new facilities. Paelon Hospital, for instance, acquired and extended an old Liaison Office house in 2017. It is now home to a large hospital with a Gross Built Area of over 1,000 square metres.

Recently, La Roche and other businesses occupied the Kogi State Liaison Office on Bishop Oluwole Street, using it as a showroom for the fixtures and fittings they sell.

Recently, Ondo State government started construction for a 7-floor twin office buildings to be called Sunshine Plaza. The development is being promoted by the Ondo State Development and Investment Promotion Agency (ONDIPA). It is a joint venture between ONDIPA and Prestige Homes.

The Benue State Liaison office was also partially converted to a hotel that is now under the management of Presken Hotel & Resorts.