Long-term fund paucity hindering property development — Wemabod

The management of Wemabod Estate Limited has said the construction industry is plagued by the absence of long-term funds, which is hindering its growth and the ability of the country to bridge the housing deficit.

According to the company, funding remains a critical challenge as real estate development is not merchandising but long-term investment.

The Chairman, Wemabod Estate, Dr. Bayo Adewusi, stated this in Lagos when the new Group Managing Director of its holding firm, Odu’a Investment Company Limited, Mr. Adewale Raji, paid a maiden visit to Wemabod.

“There is serious scarcity of long-term funds in the real estate sector and this is a critical challenge,” Adewusi said.

He, however, said despite the challenge, the company was aiming to be a force to be reckoned with in the industry in the next few years.

The Managing Director, Wemabod, Mr. Olumide Ologun, said the firm aimed to increase its market share and sustain its position as a leading real estate company.

He said, “Our key areas are expansion of our business, investment in technology and workforce strategy. We believe that training is not expenditure but an investment, which creates the right people to implement the growth strategy that will lead to the realisation of goals.

“Our overall strategic intent is to be the market leader in our chosen industry in the next five years.”

Raji, a former Managing Director of PZ Cussons, said as the new GMD, he would strategise on how to move the holding company as well as Wemabod forward.

He added that Wemabod was strategic to the success of the Odu’a Group as a company sitting on valuable assets inherited from the founding fathers.

Raji said, “The critical thing is that Wemabod wants to be the market leader. Our challenge as a company is that in all sectors that we play in, we want to explore and achieve market leadership. We will do our work with the team and unveil to the public how we want to go about that in every sector that we play in.

“I take it as a challenge to lead a company with experienced people; I am coming into a role that is both economic and social. Everyone talks about infrastructural deficit but our challenge is to surmount the problems and translate them into good returns.”

The immediate past GMD, Dr. Adebayo Jimoh, stated that there was the need to look at the company’s structure and reposition it for growth.

“We have the machinery of government but we need to review our structure into programmes that will attract funding. We also have to continue to train our people and improve on the way we do business; the new world of real estate is different from taking rent, people want benefits,” he said.

Copyright PUNCH.