Nigeria’s Real Estate Sector Expands by 46% in 2024
The Nigerian real estate industry recorded an impressive 46.52% growth in the third quarter of 2024, showing significant expansion in the sector. This was revealed by the Group Managing Director of Alpha Mead Group, Femi Akintunde, during a recent event in Lagos.
According to Akintunde, the real estate sector also experienced a 16.5% quarter-on-quarter growth and contributed 5.43% to Nigeria’s real Gross Domestic Product (GDP) during this period. He highlighted that the industry outperformed key sectors such as oil and gas, telecommunications, and agriculture.
He attributed this growth to evolving trends in facility management, which have been influenced by sustainability, cybersecurity, automation, smart building technology, and artificial intelligence. He further stated that the expansion of real estate could support Nigeria’s ambition of reaching a $1 trillion economy through job creation, urban renewal, and increased revenue from taxes and fees.
“The sector has outpaced oil and gas, telecommunications, and agriculture, which were previously dominant in economic contributions,” Akintunde said. “Facility management has played a crucial role in this transformation.”
He also stressed the need for property developers to engage professional facility managers instead of self-managing complex properties. He warned that inadequate facility management could result in poor maintenance, tenant dissatisfaction, and reduced investment returns.
“Attempting to handle both property development and facility management without expertise can lead to structural deterioration, poor tenant experiences, and declining property value,” he cautioned.
