Wednesday, 21 December 2016


A frontline Real Estate Operator and Managing Director and Chief Executive Officer of Propertygate Development and Investment Plc, Mr. Adetokunbo Ajayi, has identified some structural problems affecting the government’s mass housing project and proposed measures to revamp them.

In an interactive session with the media on how Propertygate has fared despite the recession, Ajayi explained that lack of good road network, power supply, sewage and water remain serious impediment to make the government’s mass housing project attractive to beneficiaries. The federal and state governments programmes for mass housing for all, he said, require strategic plan for enhanced implementation. He noted that the target beneficiaries of the programme require minimum facilities in order to take advantage of the opportunity.

Ajai said: “Our expectation as private operators is that the government should provide enabling environment in those areas in order to encourage the target beneficiaries to take advantage. The easiest item to get by the government is land. But beyond the land is the issue of facilities such as good road network, sewage, pipe borne water, electricity and others that can bring about enabling environment.”

He lamented that due to low income and weak purchasing power of the target beneficiaries; the rich still buys the low-cost houses and left out to the poor, who are the ultimate beneficiaries. Speaking on Propertygate Development and Investment Plc, Ajayi explained that despite the tough operating climate, the company had executed many high-profile projects in the year because of its corporate integrity, innovation, excellent customer care and strong and dedicated human capital. He, however, admitted that the Real Estate industry had experienced a lot of challenges as a result of the recessionary period.

“Most high network clients could not make effective demand due to weak purchasing power. Real Estate operators’ ability to import some components of the building has been moderated by the high cost of Forex. Real Estate is a capital-intensive business; hence, operators are at the mercy of banks due to high cost of funds and low profitability. Government should create an enabling environment for the real estate operators to enable us operate optimally. But creativity and adherence to quality products and services would continue to define our operational philosophy at Propertygate,” he said

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