Newscenter Media News If you want to understand the Lagos real estate market, forget all the fancy jargons for a minute. Just think of infrastructure as the soul of property value. A house without good roads, electricity, water, or even security is like a designer shoe with no sole—fine but useless.
In Lagos, infrastructure plays a big role in shaping real estate prices. The same plot of land in two different locations can have a N50 million difference just because one has better roads, drainage, or proximity to a major highway. Let’s break down why infrastructure is the ultimate game-changer in Lagos real estate.
1. Good Roads = Good Money
Let’s say you have two plots of land—one along a well-paved road and the other inside a swampy, pothole-infested area. Which one would you buy? The answer is obvious. Lagos traffic is already enough stress; nobody wants to add bad roads to their suffering.
That’s why areas with smooth, wide roads see property prices skyrocketing. Look at Lekki Phase 1, for instance. When the Lekki-Epe Expressway was a narrow, chaotic mess, properties were still relatively affordable. But once the road was expanded and better maintained, land prices shot up like fuel prices after a subsidy removal.
Now, compare that to some areas on the mainland with roads that look like they survived a bomb blast. Properties there remain cheap, not because they aren’t valuable, but because buyers calculate the stress of bad roads into their final decision.
2. Drainage and Flood Control—Because Nobody Likes Swimming in Their Living Room
Every Lagosian knows the pain of flooding. When rain falls, some streets turn into rivers, and landlords start offering “canoe-inclusive” rent deals. But in places with proper drainage, real estate value remains stable, rain or shine.
Victoria Island, for example, had serious flooding issues in the past. But as drainage systems improved, property values remained strong. Meanwhile, areas with poor drainage, like some parts of Ajah and Ikorodu, see land values drop during rainy seasons because buyers fear their future homes could become water parks.
Investors and homebuyers are now paying more attention to drainage systems before putting their money into properties. A house is not cheap, so nobody wants to spend millions only to start living like Aquaman.
3. Power Supply—Because Generators Are Not Luxury
Electricity is one of Lagos’ biggest real estate influencers. Areas with steady power supply command higher rent and property prices. Why? Because the alternative—buying fuel for a generator—is both expensive and frustrating.
Places like Ikeja GRA, Victoria Island, and parts of Lekki have relatively stable power, and landlords use that as a selling point. On the other hand, areas with epileptic power supply lose value over time. People are now considering solar-powered estates and communities where electricity is stable before making buying decisions.
4. Transportation—BRT, Rail, and Your Property’s Worth
One of the smartest real estate moves in Lagos is to buy property near upcoming transport projects. Why? Because the moment a major road, rail, or even a bridge is announced, land prices start rising like agege bread in hot weather.
When the Lekki-Epe Expressway toll gate was introduced, property prices in Ajah and beyond started climbing. The same thing is happening with the Lagos Blue and Red Rail Lines. Areas close to the rail stations, like Alagbado and Agbado, are experiencing a surge in demand because people are preparing for easier movement.
Nobody likes spending four hours in Lagos traffic. If your property is near a transport hub that reduces stress, its value automatically goes up.
5. Security—Safe Neighborhoods, High Returns
No matter how fine a house is, if the area is a crime hotspot, buyers and tenants will run. Security infrastructure—streetlights, CCTV, police presence, gated communities—adds serious value to properties.
Banana Island, Ikoyi, and some parts of Lekki Phase 1 are expensive partly because of their tight security. Compare that to some areas where robberies are common, and you’ll see why people are willing to pay a premium for peace of mind.
6. Social Amenities—Schools, Hospitals, Malls, and Fun Spots
A house in an isolated bush with no schools, hospitals, or supermarkets nearby is just a fancy prison. That’s why areas with top schools, healthcare centers, and entertainment hubs always see higher real estate demand.
Look at places like Ikeja, Lekki, and Surulere. The presence of good schools, hospitals, and malls means families are willing to pay more to live there. Investors know this, so they buy early before development fully sets in.
The Government’s Role—When Infrastructure Meets Policy
Infrastructure development is not magic; it takes government planning, funding, and execution. The Lagos State Government has been actively pushing major projects to boost real estate value across different areas.
For example:
When the government invests in infrastructure, real estate investors should pay attention. It means they are indirectly boosting property values in those locations.
How to Invest Wisely—Spot the Next Big Infrastructure Move
If you’re planning to buy property in Lagos, don’t just focus on “popular” locations. Instead, look at upcoming infrastructure projects. These areas are where you’ll get the best long-term returns.
Here’s how to spot a good investment:
Infrastructure is the Key to Lagos Real Estate Wealth
In Lagos, infrastructure determines whether a property is worth millions or remains stagnant. Roads, electricity, drainage, security, transportation, and social amenities all play a crucial role in increasing property value.
Smart investors don’t wait for areas to become “hot” before they buy; they anticipate where the next big infrastructure project will be and invest early. Whether you’re a first-time buyer or a seasoned investor, one thing is clear: if you follow infrastructure, you’ll always find money in Lagos real estate.
By Dennis Isong
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