Oluwatobi Osonuga, managing director of Chateau Royal Real Estate Limited, a real estate firm, has said that economic, social, government and environmental conditions as factors that determine value of a property.
He listed other factors such as location, proximity to infrastructural developments, proximity to amenities, title and cost of building materials.
A property’s value is the present worth of future benefits arising from the ownership of the property. This is because the benefits of real property are generally realized over a long period of time.
Therefore, an estimate of a property’s value must take into consideration economic and social trends, as well as governmental controls or regulations and environmental conditions that may influence the four elements of real estate value which are demand, utility, scarcity and transferability, Osonuga said
He stated that “There are several other factors that drive valuation in the real estate sector which include, location, proximity to infrastructural developments, proximity to amenities, title and cost of building materials. These and many other factors affect valuation. These factors together affect the purchase price of a property.
Read also: Rising costs: Residential real estate outlook shows slower short-term transactions
“Unfortunately, we live in a clime that makes it difficult for businesses to thrive that is why we are always calling on the government to simplify the process of acquiring, and developing properties. If this is done, we believe that the cost of real estate will considerably reduce as well,” he said.
Speaking about one of the company’s properties, Rubyfields 2, located at Epe, he explained, “Rubyfields is a must-buy for every future-thinking real estate investor because it is located in a place now dubbed “the new smart city”, a place you and I know as Epe.
He explained that over the last five years, Epe has risen over the ranks to become one of the most sought-after locations in Lagos due to the government’s interest and a considerable amount of industrial, physical, and economic growth going on there.
In listing a few of the government’s projects that have been pivotal to the economic growth of Epe, he stated that “A few months ago, the Lagos State Governor, Babajide Sanwo-Olu flagged off the construction of the largest Food Security Systems and Central Logistics Park in sub-Saharan Africa, in Epe, Lagos.
A facility being built on approximately 1.2 million square meters of land in Ketu, Epe. He also said that earlier this year, the governor inaugurated a 100-bed Mother and Child Hospital in Epe.
This is aside from the present expansion of the 6-lane Lekki-Epe expressway roadways from Eleko Junction to Epe Junction and from Eleko junction inward Awoyaya through to Abraham Adesanya as well. That is not to mention the all too famous newly approved international airport. Do you know that 70 percent of the food supply in Lagos is farmed in Epe?” he said.
He advised that the best time to buy land in Epe is now, while cautioning that investors should look out for location, infrastructural developments, proximity to amenities, land title and reputation of the real estate firm before purchasing a property.
He concluded that Chateau Royal is a real estate company that cares about its reputation and places client satisfaction premium on its list. He said that Rubyfields was carefully chosen to meet the investor’s expectations and the land sells for N1.6 million for 500 Square meters and N1 million for 300 Square meters.
