Despite the huge investment opportunities presented by the ongoing expansion of the Lagos-Badagry Expressway from its present four lanes to 10 lanes with a light rail track, investors and land buyers are cautious with, and sceptical about making massive investment along the expressway, an expert has revealed to BusinessDay.
According to the expert, the uncertainty surrounding the final outlook of the expressway is restricting investors from pulling large resources into investment along the expressway, fearing that properties along the expressway on completion might be fenced off as has been done on the Lekki-Epe Expressway.
“Some major properties on Lekki-Epe Expressway have been fenced off the expressway, thereby devaluing the worth of such properties,” Mkpa Uko Peter, principal partner, Paradym Realtors Limited, confirmed to our correspondent.
At Orile axis where proper demarcation has been made, land prices have gone up to a point where a plot of land now sells for as much as N50 million, Peter noted, adding that at the Agboju axis, where construction is going on at present, land of the same size sells for N30 million or slightly below.
“Demand for land has been relatively low, especially for some areas that are perceived to be hot spots for investors such as Abule-Ado, Alakija axis, supposed to be good for event centres, eateries and the hospitality sector in general,” he said.
Continuing, he said “Agboju to Maza-Maza axis, expected to be hot spots for heavy duty truck dealers have still not attracted investors as expected; the unavailability of a large expanse of land for a residential estate along the expressway has also not seen high demand by estate developers.”
According to Abass Adeshina Lasisi, managing director, MastaShelter, real estate developer, now prefer to invest at the Agbara industrial layout axis where it’s obvious that properties would not be affected by the ongoing road expansion, even though they will, at the same time, benefit from the road on completion.
“The absence of multi-nationals or big investors along the expressway over the years has also not helped matters, as individual investors who before now were the major investors along the expressway got their fingers burnt as a result of the recent demolition of properties to give way to the road expansion,” Lasisi said.
Business checks reveal that demand for land along the expressway is on the downward end, as investors have preferred to play the wait and see game, pending the completion of the road.
Investigation also reveals that demand has rather shifted to the Old Ojo Road where land prices have also gone up as investors consider the area as a possible alternative route should the government decide to fence off properties along the expressway, as it has done on Lekki-Epe Expressway.
ODINAKA MBONU
