According to experts at this year’s annual Real Estate Unite 2017 summit in Lagos, thereis a wealth of opportunities ahead for the industry - if the right things are done.At the ‘Africa’s Real Estate, What’s New?’ event, Deji Alli, Chair and Chief Executive Officer of Mixta Africa, SA, for one, stressed the need for Government to come out with a scheme for the low end of the market by providing social housing, because of its advantages,which includes taxable income, which government is not receiving from such a large market.
He noted that the real sector with assets put on the region of $26 trillion has important role of the real sector in asset economic stability.According to him, home ownership is aspirational and should start from the base because there is no viable mall without the low income group. And with this, there is a big opportunity for both this, there is a big opportunity for both government and private sector.
“The property sector has the greatest multiplier effect in the economy because of its relationship between capital flow and economic stability,” he said. He did, however regret that the Nigerian government appears to be missing the point, while private sector seemed to be helpless with narrow focus.Alli said that to stimulate the sector, the partnership between government and private sectors needs to be prevalent and strong in order to come out with the right policy that will drive the sector because it has what it takes to transform the African economy. In praising the Federal government fore armarking N100 billion for the family home fund under its Social Investment Programme, he said: “The Private sectorneeds to engage the government inorder to take up the opportunity.
There is a need to introduce special in centive to make it a reality. 1. 5 million new homes for low income people within 2 years and focus should be in the lower end of the market not on the higher end.”One delegate, Dr Doyin Salami, of the Lagos business school, said: “Property professionals must come together and engage policy makers to make progress. Despite the fact that property constitutes seven percent of the Nigerian economy, it has continued to shrink with negative growth.”He stressed the need for all stake holders to deal with the demographic challenges,which, he said, has the potential to create social incohesion.