Fresh steps are being taken by the Federal authorities to revamp the former Independence Building/Defense Complex on Lagos Island with the view of transforming the high-rise structure into a World Trade Centre.
The property transferred to the Ministry of Commerce and Industry may be handed over to an investor by October 1, as search for private investors have begun in earnest. The Infrastructure Bank that emerged as Transaction Advisers to the project through a bidding process organised by the TBS Management Board at the behest of the Infrastructure Concession Regulatory Commission (ICRC) is supervising the process.
A feasibility studies packaged to that effect is currently on its way to the offices ICRC following the meeting held, Wednesday, in the offices of the Tafawa Balewa Square Management Board with representatives of Infrastructure Bank who packaged the report.
It would be recalled that The Guardian reported a few weeks ago, that the ownership of the building was uncertain, as key officials of the ministry who were contacted seemed not to be aware of the facts.
The managing director / chief executive of Tafawa Balewa Square Management Board, Alhaji B. U. Ja’afaru, confirmed to The Guardian that the building had been officially handed over to the ministry in 2009 for its transformation into a World Trade Centre as stated in the report but further revealed that efforts to resuscitate the building has been ongoing ever since.
His words: “That independence building used to be the Defense House, where the soldiers had their Defense Headquarters until 1993 when it was gutted by fire. Eventually, it was left like that. Then the government of General Sanni Abacha awarded contract for the renovation, actually, and they commenced the renovation. Along the line, when work got to about 45 percent, the whole thing stopped.”
“We had to commence that process of appointing a transaction adviser in 2013. In 2014, further approval was obtained by the ministry from the Federal Executive Council under President Goodluck Jonathan for the Transaction Adviser to proceed with the process for a fee of N150million (N150, 364,000 precisely) to be paid at the end of the project on a ‘no cure no pay’ basis and with a 12 to 18months duration for the completion of the project by the investor.
“The Federal Executive Council gave the approval. We signed agreement in November 2014 between the Infrastructure Bank who are the transaction adviser and the TBS Management Board with the Minister as a confirming party.
“So, that agreement was signed with all the necessary details on the basis that the payment of N150, 364,000 will be paid but at the end of the transaction. They are not going to be paid anything; they will do all the processes, complete packaging and so forth. When the company that will carry out the rehabilitation emerged, it is from the entry fee that the company will pay to the government that they will now get their payment (of N150.3m) as agreed,” he explained.
His words: “We want to hand over the site to the investor that will emerge, who will now carry out the renovations, which is expected that within 18 months it should be concluded. This is actually the position of things now. So, I can confirm to you that it is not an abandoned project at all.’’ We hope that by October, the infrastructure proposed will begin and within 18 months, that facility will be turned around”.
