Lagos targets revenue inflow from Jubilee Estate project
Lagos State Government is set to increase its Internally Generated Revenue (IGR) profile through taxes that will accrue from the sale of housing units, Land Use charges and other statutory payments from its new Lagos Jubilee Estate, Iganmu.
The Commissioner for Housing, Prince Gbolahan Lawal, who disclosed this while signing a Memorandum of Understanding (MoU), with Brains and Hammers Limited, for the delivery of the 618 housing units, said the state stands to derive significant revenue through the taxes that will accrue from the sale of housing units and other statutory payments for perpetuity.
While Lawal signed for the State Government, Chairman of Brains and Hammers , Adebola Sheidu, and the Company Secretary, Abubakar Sheidu signed for the company.
The project, a Public Private Partnership (PPP) model between the Lagos State Government represented by the Ministry of Housing and IBILE Holdings Limited and Brains and Hammers, is expected to relieve the government in the face of scarce financial resources, while providing employment opportunities, thereby bringing a major democracy dividend to the community.
Lawal explained that project was symbolic to celebrate the 50th anniversary of the creation of Lagos State as well as making such estates a symbol of the celebration for many decades to come.
The project, which comprises 96 units of two bedroom flats, 414 units of three bedroom flats and 108 units of four bedroom terraced houses, officially commenced in July, has the duration of 60 months.
According to the Commissioner, the State Government has set a target to deliver 200,000 housing units in the next five years in order to bridge the deficit of three million housing units recorded in the state.
He emphasised that government alone cannot deliver the required housing units, hence the need to inject private capital into the housing delivery. To achieve this purpose, the State Government, he said, has made land available to prospective private developers who have exhibited technical and financial capabilities for the delivery of affordable housing units.
The project is expected to create 3590 direct jobs and about 7000 indirect jobs in the area, which is dominated predominantly by the informal sector practitioners such as artisans, labourers, traders and food vendors.
In his remarks, the company’s Chief Operating Officer, Ibrahim Wushishi pledged to leverage on the best available technology in the form of vibro-flotation in delivery of the project.
The technology, he said, will be used to stabilise the soil and prepare it to take large structures safely and securely. He said: “The potential challenges with the site are two-fold. Firstly, the terrain is challenging for construction but over the years, Brains and Hammers has developed the skill and competence required to provide quality construction regardless of terrain.
“We are leveraging on the best available technology in the form of vibro-flotation, which will be used to stabilise the soil and prepare it to take large structures safely and securely.
“We will also be working with Lafarge who are recognized as the largest producers of building materials globally and we will be working with some of their proprietary technology in the form of specialized and customized concrete.
“The second challenge we envision is being able to keep up with demand for the housing units. Due to the strategic location, we have been inundated with demand.
“The finished development will be serviced by a stand-alone sewage treatment system that will have the required capacity and functionality to meet the needs of the estate in an environmentally friendly manner, without recourse to other facilities in the area.
“Similarly, there is a plan to provide an integrated power solution for the estate that encompasses dedicated electricity supply from the local power provider and on-site power generation, which will be augmented by hybrid solutions. This will ensure value for money for residents, ensure carbon emissions are kept to a minimum and the development is environmentally friendly.” He added.