5 Lagos Office Buildings That Have Been 100% Vacant For Over 5 Years

Must Read

How To Block Your Bank Account And SIM Card In Case Of Emergency

Losing your phone and wallet or having them stolen can be very frustrating. However, in case that happens to...

List of First Bank of Nigeria Sort Codes in Nigeria

The sort code is a number that usually identifies both the bank and the branch where an account is held. The sort...

List of United Bank for Africa (UBA) Sort Codes & Branches (with addresses) in Nigeria

The sort code is a number that usually identifies both the bank and the branch where an account is held. The sort...
- Advertisement -

After the end of an eventful decade that saw over 300,000sqm of space being delivered to the Lagos Office Market, there is still a healthy statewide development pipeline of over 120,000sqm. Despite the existing supply overhang and a low take-up as shown by occupiers shuffling between A & B Grade Offices, Converted Residential Buildings and Serviced Office Spaces, new developments are still breaking ground almost quarterly. Though many of the projects in the pipeline are part owner-occupied, consistent development starts to demonstrate that some investors still have confidence in the market.

While some recently delivered buildings including Temple Tower and Heritage Place among a few others are nearing or at full occupancy, many others are struggling. Here are 5 properties that have been empty since they were completed over 5 years ago.

5 Lagos Office Buildings That Have Been 100% Vacant For Over 5 Years - Brand Spur

Why are they still empty?
A lot of emphases have been placed on the completion of A-Grade developments and the ensuing dip in their achievable rentals, however, many B Grade properties on the market have had it worse. The graph below shows the trend of rents over the past few years.

- Advertisement -

5 Lagos Office Buildings That Have Been 100% Vacant For Over 5 Years - Brand Spur

Year on Year, B Grade property rents have noted an annual decline of over 23.8% on average, much worse than the annual average decline of 12% seen from A+ and A-Grade property. Even though there is a clear case for investing in refurbishments and renovations or strategically located B Grade developments, the brand new B Grade stock delivered when better quality space was under pressure gave them little to no competing chance.

Read Also:  PLENTY OF FISH IN THE DESERT: FROM CAMELS TO CATFISH, ALGERIA BOOSTS FISH FARMING IN THE SAHARA DESERT
Read Also:  Average Prices of Petrol, Diesel, Kerosine and Cooking Gas Price Watch - March 2017

ei Insight (Estate Intel Limited)

- Advertisement -
5 Lagos Office Buildings That Have Been 100% Vacant For Over 5 Years - Brand Spur5 Lagos Office Buildings That Have Been 100% Vacant For Over 5 Years - Brand Spur

Subscribe to BrandSpur Ng

Subscribe for latest updates. Signup to best of brands and business news, informed analysis and opinions among others that can propel you, your business or brand to greater heights.

- Advertisement -

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.

5 Lagos Office Buildings That Have Been 100% Vacant For Over 5 Years - Brand Spur5 Lagos Office Buildings That Have Been 100% Vacant For Over 5 Years - Brand Spur

Latest News

LafargeHolcim Proposes Reducing Company Name To Holcim

The world’s largest cement maker, LafargeHolcim is proposing to simplify its name to Holcim Limited, reverting to the name...
- Advertisement -
BrandsPur Weekly Cartoons
- Advertisement -5 Lagos Office Buildings That Have Been 100% Vacant For Over 5 Years - Brand Spur5 Lagos Office Buildings That Have Been 100% Vacant For Over 5 Years - Brand Spur