or increased in certain cases in major cities in the country. or increased in certain cases in major cities in the country.
Old Ikoyi and Victoria Island reached ₦375,000psm and ₦245,000psm, respectively. Demand growth appears concentrated in Lagos, where supply remains tepid. Grade A developments, with some multinationals renegotiating leases for smaller spaces or exiting entirely. “The stability in rental rates suggests a resilient market. As supply shrinks in the near future, this stability presents potential opportunities for investors and occupiers alike,” he said.
Okosun said: “As real estate underpins economic activities, the office market dynamics are being influenced aby the broader economic landscape, characterised by rising operational costs and growing need for cost-effective solutions. “Many tenants whose rents are due for renewal are seeking ways to reduce and redenominate them in the local currency or at worst leave them at current levels.
In areas such as Victoria Island and Ikoyi, which are home to some of the country’s most prominent Grade A office buildings, rental rates have dropped by more than 30 per cent in some cases since 2016. This decrease is driven by several factors, including the state of the economy and post-COVID pandemic work trends.
The Chairman, Lagos branch, NIESV, Gbenga Ismail, also agreed that Class A rents are stable. “The rates reached a high of $1000/sqm in six years. Occupancy for prime grade A is 60 per cent. It also takes three years to fill up 3,000 sqm space and grade A average take-up is three/six months for 500 sqm space.
Signing the pact during the Ministerial Press Conference in Abuja, Minister of Housing and Urban Development, Ahmed Dangiwa, stated that the bank will offer advisory services and finance competent developers. Earlier, the Permanent Secretary, Dr Marcus Ogunbiyi, commended the media for their consistency and commitment to the ministry’s activities, promising to work with them as partners in progress.Before flagging, please keep in mind that Disqus does not moderate communities. Your username will be shown to the moderator, so you should only flag this comment for one of the reasons listed above.