Adeniji Adele is the president, International Real Estate Federation (FIABCI) Africa and Near East Region. In this interview, he speaks on the influence of technology on the housing industry and how the government could surmount challenges in the real estate sector.
Despite the significant contribution of the industry to the nation’s Gross Domestic Product (GDP), the real estate sector has experienced a downturn in the last three and half years. What is responsible for this and how can the industry be improved?
The real estate sector in Nigeria, despite its substantial contribution to the nation’s GDP, has faced a downturn in the last three and half years. Several factors contribute to this decline. Economic instability, policy uncertainties, and inadequate infrastructure development are major culprits. To improve the industry, the government needs to address these issues by providing a stable economic environment, clear policies, and investing in critical infrastructure.
The International Real Estate Federation, (FIABCI) as the most prestigious real estate organisation in the world has been in existence for a while, what contributions has the association made toward the development of the real estate industry in Africa?
FIABCI has played a crucial role in the development of the real estate industry in Nigeria and Africa. Through knowledge exchange, networking opportunities, and promoting best practices, FIABCI has facilitated international collaboration and enhanced the professional standards of the industry. This has positively impacted the growth and credibility of the real estate sector in Nigeria and across the continent.
As the president of FIABCI-Africa region, what are the plans to move the Nigerian chapter, as well as other African chapters forward?
My task involves advancing the goals of the organisation within the African region. Plans to move Nigeria and other African Chapters forward involve fostering stronger partnerships, organising educational initiatives, and advocating for policies that support sustainable real estate development.
Issues relating to non-adherence to international best practices and quackery remained a challenge for professionals and the industry. How are you addressing such loopholes in the industry?
Non-adherence to international best practices and the prevalence of quackery pose challenges to professionals and the real estate industry. To address these loopholes, stringent regulatory frameworks, continuous professional development programmes, and public awareness campaigns are essential. There should also be collaboration between the government, industry associations, and educational institutions to help establish and enforce these standards effectively.
The influence of technology has become a global phenomenon in virtually all aspects of life. With your international exposure, are you satisfied with the degree of adoption in the housing industry and what are your recommendations to operators in the sector?
The global influence of technology is undeniable, and its adoption in green and smart technologies for urban development is critical. While progress has been made, there is room for improvement. Operators in the sector should prioritise incorporating sustainable and smart solutions, embracing innovation, and investing in research and development. This will not only enhance efficiency but also contribute to environmentally conscious urban development.
The housing industry challenge is enormous and traverses the building materials and mortgage services. What is your advice to the minister of Housing and Urban Development on how to improve the sector?
The challenges in the housing industry are vast, spanning building materials and mortgage services, including lack of access to land, inconsistency in government policies and coupled with incessant activities of miscreants and land grabbers in various parts of the country.
Hence, the environment has not been friendly to the would-be affordable housing investors. To reverse these issues, a comprehensive approach is necessary. This involves promoting local production of building materials, creating incentives for affordable housing projects, and implementing supportive mortgage policies. Collaboration between the public and private sectors is key to overcoming these challenges and ensuring sustainable growth in the housing sector.
For the minister of Housing and Urban Development, my advice would be to prioritise the gathering of reliable data to inform evidence-based policies. I know that implementing data-driven decision-making processes will enhance transparency, efficiency, and accountability. To drive low-cost housing, the minister should explore innovative financing options, incentivise private sector participation, and streamline bureaucratic processes to facilitate faster and more cost-effective housing projects.
Also, proper land regularisation policy should be put in place to enable seamless access to land and effective land administration of policies for processing to be transparent to all stakeholders in the sector.
