PROBLEMS OF REAL ESTATE DEVELOPMENT IN NIGERIA (A CASE STUDY OF ROYAL VALLEY HOUSING ESTATE, ILORIN)

Abstract

Real Estate development is one of the most essentials of various organizations, individuals and government parastatal which deal with the process of carrying out construction works. As the economy emerged from deep recession in the early 1980s, it was accompanied by an upturn in real estate development activity. The problem of real estate development in Nigeria is characterized by heavy capital outlay among others, due to the high cost of building materials and some other factors. Based on this fact, investors in real estate found it difficult to bear all the cost involved in real estate development alone. This paper therefore looks into the problems of real estate development in Nigeria using Royal Valley Housing Estate, Kulende Ilorin, Kwara State as a case study. Information was therefore sought from practicing Estate Surveyors and Valuers who are involved in real estate development and from the private developer in charge of Royal Valley Housing Estate and few other private estate developers within Ilorin. Personal visit was made to some notable building material companies and interviews were conducted on some of them so as to gather relevant information. Secondary data was also collected from textbooks, past theses, past journal papers and other academic work. Financial constraints and some other factors were discovered as some of the problems facing private estate developers and adequate recommendation were proffered.