Historically the house and property development market in Nigeria has been vibrant. Shield for your windshield the current world economic slump begin to take be patient in September 2008, it drained the confidence involving many investors and the actual marketplace nose-dived along with the general financial crisis. But with the signs of economic recovery beginning to adopt hold again, what prospects are there for a resurgence in the industrial property trade?
When industrial and commercial property prices reached a fabulous low, it signaled a couple of things. Firstly that the market was severely depressed and was likely to stay that opportunity for several years, but that the bottom of the trough ended up reached and that the sole method out, was up. With the market having stabilized at its new low, it meant that the glut of distressed properties that were pouring in had stopped, and with laws of supply and demand in operation, more than excess of supply far outstripping demand, prices remained depressed.
However, tackled . 12 months has seen the signs and symptoms of recovery going on in the commercial sector, and with property prices still artificially low, this has begun to stimulate demand, as property development speculators are one again sensing the opportunity of making good short to medium term returns on new investments.
Office properties in particular are an illustration of the current optimistic views. With economic forecasts being positive, albeit slow-moving, kent ridge hill residences showflat and costs being under they are, now constitutes a time invest in. As confidence returns to the economy, possibly new letting agreements is booming and properties are once again beginning to move, introducing a slow but steady rise in prices and rates. Usually forecast that this trend will continue slowly but surely, depleting the supply surplus which will eventually trigger a new bout of property development taking place.
Current thinking is this kind of may well lead a good industrial property boom in 2014/15. Not surprisingly with associated with long gestation period kids developments to come to final fruition, the process needs staying kicked off now. Feasibility studies, surveys, finance – all of these things should be in place before actual construction starting to are held.
All in many this will finally be a very positive time for property development. Industrial property investors have every reason to get cautiously optimistic, as the short to medium term prospects are looking very positive, and this is the time to speculate and put.