Real Estate & Construction

Lagos State is the most active government developer in Nigeria. Through the Lagos HOMS scheme and public-private partnerships, it targets 20,000 homes per year against a deficit of over 3 million units in Lagos alone. The challenge: affordability gap. A Lagos HOMS unit costs N15-N30M yet 60% of Lagos households earn under N200K/month.

Dangote Cement is not just a cement company - it is the foundation of Nigerian construction. Its 51.6 million tonnes installed capacity is more than the rest of the industry combined. The Obajana plant is the largest in sub-Saharan Africa. Dangote controls pricing; when Dangote raises its price, every builder in Nigeria feels it.

BUA Cement is Dangote closest rival, holding ~25% of the market. Its Sokoto and Edo plants serve the North and South-South markets respectively. BUA expansion plans include a new 6M tonne plant in Akwa Ibom. The competitive dynamic between Dangote and BUA has kept cement prices from rising even faster than they already have.

The Federal Mortgage Bank of Nigeria is the government primary mortgage institution. Its National Housing Fund (NHF) scheme allows contributors to access loans at 6% - far below the market rate of 20%+. Despite this, FMBN has only disbursed N150B+ in home loans, enough for roughly 10,000 homes in a country that needs 28 million. The bottleneck: land title documentation.

The Nigeria Mortgage Refinance Company (NMRC) was created to solve the problem that Nigerian banks do not lend long-term for mortgages. NMRC provides liquidity to Primary Mortgage Banks (PMBs) by refinancing their loan books. It has issued N15B in housing bonds but the secondary mortgage market remains nascent - less than 1% of GDP.

Julius Berger is Nigeria most respected construction company. It built the Third Mainland Bridge, the National Assembly, and countless federal highways. Its German heritage gives it a reputation for quality that Nigerian competitors struggle to match. But that quality comes at a price - Julius Berger projects are typically 20-30% more expensive than local competitors.

Sujimoto represents the luxury end of Nigerian real estate. Projects like Lorenzo by Sujimoto sell for N90M-N300M, targeting the diaspora and high-net-worth market. The company has built a premium brand but operates in a market where 90% of housing need is below N5M. Sujimoto success reflects Nigeria extreme wealth inequality - and the opportunity in the neglected mass market.

The shortlet (short-term rental) ecosystem is the fastest-growing segment of Nigerian real estate. TrustStayNG has emerged as a leading player, managing properties across Lagos and Abuja. The segment benefits from Nigeria corporate travel market, diaspora visitors, and the growing preference for apartment-style accommodation over hotels. A single shortlet unit can generate N1M-N3M annually in Lagos prime areas.