Professionals seek enabling environment for real estate growth

Real estate professionals have emphasised the need for stable political leadership to deepen investment in infrastructure, and advance innovation and property technology in Africa.

They also called for the streamlining of processes in acquiring property titles; improving the finance of projects and need to boost access to market information in the sector.

According to them, the real estate market in the continent has the potential to create massive employment opportunities, boost government revenue through taxes and provide incomes for individuals.

The experts spoke at a Pan-African Real Estate webinar series 2025 titled: “Real Estate in Africa: Drivers of Economic Growth and Urban Transformation”, organised by the Lagos branch of the Nigerian Institution of Estate Surveyors and Valuers (NIESV).

NIESV President, Victor Alonge, said it was crucial to examine how the real estate sector performs in Africa, why the sector is still lagging and what can be done to solve the problems and militate against its progress.

According to him, the sector contributes differently to Gross Domestic Product (GDP)across Africa, noting that in South Africa for instance, the contribution to GDP is higher than what is recorded in Nigeria, while the contribution in Nigeria is higher than in other countries. He said the plan is to make the forum a national event and examine the performance of the sector within the national economy, especially the contribution to GDP.

“It is important to study the countries that are doing well in the sector, those that are not doing well, why they are not doing well and how they can progress,” he said. He said it was necessary to consider infrastructural development in Africa and its impacts across the continent.

Alonge said real estate is all about infrastructure as it directly impacts real estate value, adding that it was important for real estate professionals to come together and look at how to contribute towards the progress of the sector.
He also commended the Lagos branch led by Gbenga Ismail for the forum, which provides an opportunity to learn and share experiences.

The Head of Business Development and Client Advisory Sub-Saharan Africa, Swindon Property Group, South Africa, Mr Geoff Kruger, said the factors driving growth in Africa include the growing middle class, especially in Nigeria, South Africa, Ghana and Kenya, forcing increased demand for housing, office spaces, and retail.

Specifically, he said there has been significant growth in commercial real estate in the highlighted countries in the last decade with many standard office spaces now coming up in Lagos and across African cities, while housing remains a challenge.

Kruger observed the inflow of foreign direct investment into real estate with the influence of local investors in the continent, thereby fostering growth. He attributed the potential for growth to the determination of governments to invest in developments, stressing that urbanization, which has accelerated incrementally over the last 10 years has also contributed to growth.

He said this has also triggered the need for the government to invest massively in infrastructure projects, especially transportation. Head of SCI Bethel Invest, Cote d’Ivoire, Mr John Mbu, said governments across the continent need to formulate policies that encourage investment and growth.

This, he said, could come in the form of tax incentives and holidays for investors in the real estate market, less cumbersome access to land, special funding for projects and partnerships and collaborations for growth.

Mbu argued that the sector is a veritable source of revenue for the government, which generates funds through tax collected from real estate transactions from the buyers and sellers, a source of income for individuals, as well as a potent way to generate massive employment for the people.

The Head/Chairman of the Committee on AFRES Francophone Project (Rwanda), Mr Bonaventure Munyabugingo, said there was a need to remove restrictions on visas among African nations to promote real estate business, while the government should provide special contributions to infrastructure development, as well as systematic registration of land to reduce issues that hinder investment.

According to him, systematic registration of lands will give citizens in the lower and middle classes the opportunity and right to use their property to access funds from the banks.

He further urged real estate professionals to take advantage of the African Continental Free Trade Area (AfCFTA) like the professional engineers while the young professionals in the sector must also collaborate with others and play an active role in the sector.