Provision of Low-Cost Housing for Nigerians May Be Difficult for Government Amidst Current Economic Realities -Realtor

Foremost real estate entrepreneur, Dr Babatunde Adeyemo, has said “It is extremely difficult for both the state and the federal governments to deliver low-cost housing scheme for Nigerians”.

Adeyemo, who is the Chief Executive Officer (CEO) of Pelican Valley Nigeria Limited, observed that speaking based on his understanding of the dynamics and workings of housing project, the Nigerian government cannot deliver low-cost housing estate in an inflation-ridden economy.

He made this known on Sunday in Abeokuta while fielding questions on the News File, a monthly interactive programme of the Consolidated Chapel of the Ogun State Council of Nigeria Union of Journalists (NUJ).

Adeyemo observed that “It is extremely difficult for both the state and the federal government to have a low-cost housing estate, I’m saying this categorically as a real estate entrepreneur.

According to him; “The reason is that there cannot be low-cost housing estate in an inflation-ridden economy because the price of cement in the market cannot be subsidised by the government. There is a limit to what the government can subsidise in building materials and the cost of building, the government doesn’t manufacture iron, cement, granite, gravel and sand.

“Getting an affordable house or low-cost housing is very difficult, it is just like you leaving leprosy and treating ringworm.

“The government needs to treat that leprosy first which is the inflation, the economy, if not, we keep on subsidising, but do we have the luxury of fund to subsidize?

“Before you can subsidise you need to have the funds, the funds are meant for infrastructure, education, and health, you can’t pack everything and put it in housing, it will be very very difficult, they just have to augment gradually and sometimes…”

The journalist turned realtor, however, commended President Bola Ahmed Tinubu, on his administration’s resolve to address the housing needs of Nigerians.

He recalls that the planned nationwide 100,000 housing units for Nigerians and the recent approval of N126.5 billion from the 2023 supplementary and 2024 budget to fund it, Adeyemo said this laudable housing project when implemented, would go a long way towards re-invigorating the economy, driving national development and help reduce the over 20 million housing deficit the country is grappling with today.