Skip to main content

Professionals seek review of building approval process



Real estate professionals say there is need for a review of the present building approval process in order to grow the real estate sector which currently accounts for 7.6 percent of Nigeria’s recently rebased gross domestic product (GDP).

The professionals who canvassed this review under the aegis of the International Real Estate Federation (FIABCI) insist that the review and subsequent relaxing of the tedious process of acquiring building approvals in most parts of the country has become necessary because it is a threat to the sector’s growth.

According to them, if relaxed, it would signpost government’s willingness to provide an enabling environment for over 80 percent of private individuals and real estate developers who have been burdened by the current cumbersome process of accessing building plan approvals.

Speaking at a one-day seminar on ‘Challenges of Planning Approval and its Effects on Housing Development in Nigeria’, Flavio Nunes, world president, FIABCI, explained that a major catalyst to reducing Nigeria’s housing deficit could be through a quicker building approval process, stressing that a slower process slows housing delivery.

Comparing Nigeria’s 16 million housing shortfall with Brazil’s 5 million, Nunes pointed out that in Brazil, building approval process was not responsible for the nation’s housing shortfall but rather economic challenges. However, according to him, while a building approval plan for simple developments could take about six months in Brazil, a more complex development takes an average of one year, with Singapore taking only  four weeks. This, he believes, should be the trend in Nigeria provided that a safe process is maintained.

To Victor Emdin of Mepas & Prodel Nigeria Limited, agreed, recommending that a three-week period should be allowed for approving building plan in areas such as Lagos and Abuja where huge investment has been made in mapping and planning.

In addition, Emdin suggested that zonal planning officers should be delegated with responsibilities of granting approvals in their zones to hasten the process.

Yemi Idowu, chairman, Aircom Nigeria Limited, in his submission, noted that considering the bottlenecks associated with accessing building plan approvals and the high incidence of plan altercations, Nigerians should be manufacturing homes through prefabricated building systems where issues of plan altercation were minimal rather than the conventional building systems.

Olutoyin Ayinde, commissioner for physical planning and urban development, Lagos State, in his remarks, was however convinced that the state had made tremendous effort in hastening the process in recent time, explaining that plans take longer to be approved because, “most times people do not subscribe to the right processes but rather prefer to cut corners, thereby elongating a simple process.”

ODINAKA MBONU
Labels:

Comments

Post a Comment

Popular posts from this blog

SURVEY OF PRICES OF PROPERTIES ON THE ISLAND

Sales price Rental per annum Lekki Phase 1  3 Bedroom flat N45m – N50m N2.5m – N3m 4 Bedroom wing of duplex  N70m – N80m   N3m – N4m Agungi 4 Bedroom detached house N45m – N50m N2.5m 3 Bedroom flat N40m      N1.5m – N1.8m Chevy view 4 Bedroom terrace house N42m N2.5m 3 Bedroom flats  N35m        N1.6m Crown Estate 4 Bedroom detached house  N30m – N40m  N1.5m – N2m Thomas Estate, Ajah 3 Bedroom flat N25m   N750k – N800k Abraham Adesanya 3 Bedroom bungalow  N12m – N14m N700k – N1m 2 Bedroom bungalow N11m – N12m  ...
2 comments
Read more

Quick fixes for quick profits in real estate

It has been said several times that ‘ideas rule the world’ and this holds true in real estate investing as well. We want to examine a time-tested idea that guarantees quick turnaround time and good returns on investment in most real estate markets. We’ll be examining guidelines for making a good return in rehabilitating and selling properties. First, you need to find a property that is in need of repairs or renovation but is located in a good area. 
Post a Comment
Read more

Nigeria Central Bank’s decision on CRR to have ‘shock effect’ on money market – Rewane

The MPC increased the already controversial Cash Reserve Ratio on public sector deposits from 50 to 75 per cent The decision by Nigeria’s Monetary Policy Committee, MPC, to increase the already controversial Cash Reserve Ratio, CRR, on public sector deposits from 50 to 75 per cent would in the short term, have a shocking effect on the nation’s money markets, Bismarck Rewane, a finance analyst and Managing Director, Financial Derivatives Company, has said. “The impact of this decision on money markets will be a shock effect in the short run and a re-turn to equilibrium rates within six weeks”, Mr Rewane said in a report analysing the MPC’s decision. He said the first time the MPC increased the CRR (the percentage of funds banks have to keep with the Central Bank) on public sector deposits in August 2013, an estimate of N1trn or 6.84 per cent of Money Supply (M2) was debited. “At that time, the impact was a spike in interbank rates of approximately 800 basis points (bps...
Post a Comment
Read more