Managing Director of Country Hill, a real estate firm, Adewale Oshinaike, has urged the Federal Government to provide bailout funds for the building of houses across the country to bridge the housing deficit.
Citing the Nigerian Bureau of Statistics (NBS) in the PwC’s 2019 report, entitled: “National Housing Fund”, he said it is estimated that Nigeria has a deficit of 17 million houses as at 2012 and that it requires 700,000 houses yearly compared to the less 100,000 being built to bridge the gap.
He said those who would get the cash should be made to pay back.
“In Dubai, the government gives private organisations funds to build houses or gives them land if they know that the company has money to build houses. Houses in Dubai are more than the people and they are still building. Such ideas attract investors, visitors and tourism,” he explained.
He said the government should create policies that would allow foreigners to invest in real estate, saying that such investment would help reduce the housing deficit.
Oshinaike said there has not been a major real estate company in Nigeria because of instability in the economy in the last four years.
“I was in Dubai few weeks ago to speak with some investors. What they were asking for are what Nigeria banks cannot provide. They were saying that I should bring letters of credit, and guarantors. After that, the bank officials would ask for a certain percentage of the money your investors are bringing before you can get a loan. If I have that kind of money, why do I need investors?” he asked.
In addition to the bailout funds, Oshinaike wants government to provide enabling environment for the private sector to bring in foreign investors to invest in real estate in Nigeria, adding that there are many government policies that are hindering foreign investors in the real estate industry.
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