Historically the home or property development market in Nigeria has been vibrant. Even so the current world economic slump did start to take wait and see in September 2008, it drained the confidence associated with your many investors and the actual marketplace nose-dived considering the general financial crisis. But with the signs of economic recovery beginning to look at hold again, what prospects are there for an increase in the economic property trade?
When industrial and commercial property prices reached another low, it signaled to show your internet. Firstly that the market was severely depressed and was likely to keep that path for several years, but as well that the bottom of the trough were definitily reached this the sole method out, was up. With all the market having stabilized at its new low, it meant that the glut of distressed properties that had been pouring in had stopped, and that isn’t laws of supply and demand in operation, the actual excess of supply far outstripping demand, prices remained depressed.
However, explored 12 months has seen the warning signs of recovery going on in sector sector, kent ridge hill residences price other than property prices still artificially low, it has begun to stimulate demand, as property development speculators are one again sensing the opportunity of making good short to medium term returns on new investments.
Office properties in particular are an illustration of this the current optimistic outlook on life. With economic forecasts being positive, albeit slow-moving, and costs being under they are, now a great time to buy. As confidence returns to the economy, possibly new letting agreements is booming and properties are again beginning to move, resulting in a slow but steady rise in prices and rates. It can be forecast this kind of trend will continue slowly but surely, depleting the supply surplus may eventually trigger a new bout of property development taking venue.
Current thinking is this specific may well lead for industrial property boom in 2014/15. Not surprisingly with any long gestation period for new developments arrive at final fruition, the process needs to be kicked off now. Feasibility studies, surveys, finance – all of these things end up being in place before actual construction will start to take place.
All in all this has grown a very positive time for property development. Industrial property investors have every reason to be cautiously optimistic, as quick to medium term prospects are looking very positive, and it is now time to speculate and sow.