Wednesday, 4 July 2012

What Does The Future Hold For Lekki 2?

Lekki phase 2, as a government residential scheme has been underdeveloped for too long. As Phase 1 is become more expensive, Akintunde Seriki of (Castle Property Xtra) observes.

Lekki Scheme 2, a government residential scheme lying along the lekki Epe expressway, off Abraham Adesanya Estate, was created about 12 years ago. It covers about 20 hectares of land bounded by Abraham Adesanya Estate, Okun Ajah and Ogombo settlements. The scheme is fully subscribed and has the basic infrastructure in place such as good road network, proper drainage channels, electricity and water supply, all completed to about 90%.

Despite all these, owners of plots have failed to develop them, as development of the estate is put at 20% and this has resulted in the threat of renovation of some plots by the state government in the past. The renovation warning which is still standing is basically for those who have not finished paying up for their Letter of Allocation and those who have not stated any form of construction on land purchased. On the other hand, to encourage speedy development of the area, the state government, through LSDPC, built the Oba Elegushi Estate recently.

Many of the land owners try to avoid being sanctioned by quickly selling off the property or starting any sort of construction o the site. Besides the Letter of Allocation, which is given as soon as the property is paid for, owners will have to apply for the government’s certificate of Occupancy, in lieu of which Governor’s Consent can be given. However, few of the plots already have the C of O.

Lekki Phase 2 has been notorious for vacant plots and underdevelopment as many land owners have refused to start any form of construction in the estate. In fact, patronage in terms of purchase of land in the area is quite low has people are generally disinterested in the area. This can be attributed to the fact that no one wants to live in an isolated area which is also underscored by the lack of security there. We discovered that many of the land owners there also bought in to the Scheme 1and are presently resident there but are waiting for Scheme 2 to improve before starting anything.

The estate is not like any other estate around as it is not fenced round nor does it have any central entrance, facilities which have been suggested will push the estate desirability up a notch. The absence of the ‘estate feel’ is also evidence in the fact that there is no central facility management system and recreation centres, often provided within estates around, are unavailable.

There is also the waterlogged sections close to OkunAjah, just after the LSDPC development. This area is said to be occupied mainly by developers who are trying to sand fill that part of the estate.

Land in Lekki 2 goes for between N9m and N18m depending on size and exact location with rates of about N10, 000 to N12,000/sqm in the waterlogged parts whole those in the development area go for N13,000 to N19,000/sqm. In comparison with estate within the vicinity, VGC has the highest worth with plots costing between N76,000 and N85,000/sqm while Ikota Villa averages about N35,0000/sqm and Royal Gardens Estate around N46,000/sqm. Even Crown Estate, further down the road from Lekki 2 sell in the region of about N36, 000/sqm.

Purchase of land in Lekki 2 is fairly on the rise but some buy mainly for speculative purposes as the price is quite low. Nonetheless, as Lekki 1 is getting quite congested with less and less available land, Scheme 2 is becoming more attractive with the hope that by the end of the year, development should pick up. The higher cost of Scheme 1 land may also push more people to Scheme 2 while the while the inter-coastal Road, which is still under construction, will be expected to open up the area a little bit more when fully completed.

At the end of the day, the question remains, if every land owner is waiting for others to come before starting his own project, when will Lekki 2 actually get developed.

No comments: