Looking to delve into the real estate market? Well, Nigeria may be an attractive country to get into. Due to the growing nature of the economy and the fast urbanization of rural areas, an investment in this sector in Nigeria will definitely prove profitable. That being said, it is necessary for investors to carefully consider the Location in Nigeria where they will want to site their investment. An attractive option would be to consider the far northern areas, however there are insecurity challenges and a low profit guarantees involved even if it may be cheaper to purchase landed properties in such areas.
With the capital city being in Abuja and previously in Lagos, it will merely be a formality to consider those areas as real estate friendly. Now, let’s take a look at 10 potential areas for profitable real estate investments besides Abuja and Lagos.
Top 10 Real Estate States in Nigeria besides Lagos and Abuja.
10. Cross-River State
On my number ten position sits the first-ever Cross River state which is arguably the calmest state in the southern area of Nigeria. Home to the famous and amazing Obudu Cattle ranch, a resort of high caliber. It plays host to hundreds and thousands of visitors annually. With a population of about 3.8 million people, Cross River presents a lot of opportunities to intending real estate investors. An investment in properties such as Hotels, Guest Houses, Commercial buildings that will be leased to companies such as banks, malls, and lots more may prove to be more profitable in this state. However, localization of estates with modern building structures at strategic areas of the state may prove highly profitable due to the predominant old-fashioned structures.
9. Edo State
Home to the famous Oba Of Benin, arguably this state has the most historic and influential tribal rulers in Nigeria. With a large deposit of bitumen, dolomite, clay, limestone, and crude oil. Edo state is suitable for industrialization and is not short of industries. The presence of industries across sectors such as medicine, construction, oil and gas, and trade needs no explanation, and this makes Edo state a very attractive state for real estate investment. Being one of the oldest states in Nigeria, investors may consider building modern exquisite residential buildings that will prove to be as strong as its already existing ancient structures.
8. Oyo State
With a whopping population of about 5.5 million people, this state presents lots of opportunities to real estate investors. Reputed for having the first-ever and arguably the most equipped public university in Nigeria, (University of Ibadan) Oyo attracts lots of researchers on an annual basis, most of them often become residents. Apart from its intellectual prowess, Oyo state runs an agrarian economy as it largely produces crops such as cocoa, cassava, tobacco, and lots more. And Investors may consider land real estate in agriculturally dominant areas of the state. Its closeness to the highly industrialized city of Lagos also makes it a real estate-friendly state as the residential estate can be localized around its borders with Lagos.
7. Abia State
Home of the business moguls, Abia state provides an industrious and business-centered environment for real estate investors. Location of one of the most important markets in the country (Aba market) Abia state will prove to be highly efficient if business and agriculturally related structures will be focused in this area. Investors may consider constructing a large Ultra-modern market around this area to provide a clean and free-flowing business environment. Such an investment could prove to be a gold mine. Away from the city of Aba, Umuahia, the state’s capital will also be very profitable if investors can localize commercial and residential buildings. With an available and underdeveloped vast area of land investors looking to get into this state will definitely be making the “right move”.
6. Osun State
Having an amazing 21.91% contribution to Nigeria’s GDP, agriculture, and agricultural friendly environments cannot be ignored by potential investors. With agriculture being its major focus, Osun state produces crops such as yam, cassava, maize, beans, millet, cacao, plantain, palm kernels, and fruits. An investment in agricultural-related structures such as farms, mills, processing centers, and lots more will prove to be highly profitable in this state.
5. Enugu State
The “Coal City” is arguably the most industrialized Igbo state in Nigeria. Possessing large deposits of coal, and with a large palm wine production rate, Enugu state is definitely a state to keep a close watch on by real estate investors. commercial buildings and residential apartments will most be suitable in such a state.
4. Akwa Ibom
Currently the highest oil and gas producing state in the country, this state is known to produce an estimated 800,000 barrels of crude oil daily. With an emphasis on growth and development by the state’s government, the state has seen massive urbanization of its rural areas and as such attracted lots of migration into it with the state capital having about 500,000 inhabitants. What more can be needed for a viable real estate investment? Capital, I guess.
3. Anambra State
Reputed to have the lowest poverty rate in Nigeria, Anambra state’s economy is diverse and multifaceted. Having the largest market in Africa in terms of geographical size and trade volume presents a readily available investment opportunity for real estate investors. Also, large deposits of natural gas, bauxite, ceramic, and crude oil make this state an industrially friendly zone. Last but not least, it is the presence of arable soil which is very fertile for crop growth. Anambra state presents a vast opportunity for real estate investors. Commercial, Agricultural, Industrial and Residential structures can all be constructed in this state as the state.
2. Rivers State
A total landmass of 11,077 km2 sees it being ranked as the 26th largest state in Nigeria out of 36, but apart from having a large landmass, Rivers state is known for a lot of things. With two major seaports, and two major refineries Rivers state is definitely no slouch. The industry sector has a 27.38% contribution to Nigeria’s GDP which is the second-highest contribution, followed closely by the oil and gas sector. Rivers state being highly Industrialized, and equally having high crude oil deposits, making it a perfect site for real estate investment. Agriculture is also predominant in this state as livestock farming and fishing have seen a significant rise in this state over the years.
1. Ogun State
Surrounded by Lagos to the south, Ondo to the west and Oyo and Osun states to the North Ogun state has been nicknamed as the “Gateway to Nigeria”. Besides being a highly industrial state, Ogun state is known to be the home for many manufacturing hubs. Also, Agriculture is not absent as Ogun State is the pioneer state for the production of Ofada rice, a highly consumed agricultural produce in the country. Apart from all it possesses, being surrounded by a host of other industrialized and economically important states is also a major factor to consider, and this is a very important factor to consider for real estate development. The price of land is relatively cheaper than that of other states of similar status similar values and it makes it easier for real estate investors having a medium funding base to thrive in such an environment.
