The Roland Igbinoba Real Foundation for Housing and Urban Development (RIRFHUD) released findings from its latest report showing that the average annual rent for a three-bedroom apartment in Ikoyi, Lagos, has reached N25 million. This surge highlights the growing pressures in Nigeria's luxury real estate market amid rapid urbanization and population growth.
The State of Lagos Housing Market Report, Volume 3, reveals significant shifts in property values over the past decade. Lagos, home to nearly 24 million people, grows at 2.5 percent annually. Over 6,000 immigrants arrive daily, and about half stay, driving up demand for high-end housing. Experts predict the city's population will exceed 25 million by the end of 2025.
"In the last ten years, the Lagos property market has transformed from accessible to premium," said Roland Igbinoba, Founder of RIRFHUD. "Land prices have only gone up, with no reversals. This makes real estate a key tool for wealth building, especially for affluent and diaspora investors."
The report compares land price trends across areas. In Ibeju-Lekki, plots that cost N500,000 to N1.5 million in 2013 now fetch N25 million to N40 million in early 2025 – a potential 40-fold increase.
Lekki Phase 1 saw prices jump from N10 million to N15 million in 2005 to over N400 million to N500 million today. Eko Atlantic plots rose from N180 million in the early 2000s to more than N2 billion currently.
These trends underscore how luxury real estate serves more as an investment than basic housing. The N25 million average rent in Ikoyi reflects this dynamic, fueled by economic forces and infrastructure development.