This article shares insight on what you can build on a plot of land to generate predictable cash flow from property investment.
After concluding all necessary documentation with our real estate company and have been allocated respective plots of land, a lot of buyers still ask me this post-purchase questions, “What can I build on a plot of Land”?
This is an important part of your real estate journey as it helps you plan your next strategic move.
Though I have shared tips to making money off your vacant land which you might want to check out here. This article is focused on helping interested land buyers see the opportunities in Lagos real estate market and how they can position their portfolio for a better return on investment.
Real estate in Lagos is a sure destination for local and foreign investors who are looking for a stable and near zero investment windows in Nigeria. In the country alone, the sector account for around 12% of annual GDP and the way population is growing, expert predicts a double-digit growth for the sector which is doubt creating more jobs.
That doesn’t mean the sector is 100% risk-free but we believe that if you have every information required to find a good land with key documentation and backed by a professional property lawyer, you are as well safe from scammers.
What you can build on a plot of land in Lagos:
Find 4 ideas on what you can do with your vacant plot of land with examples to take home.
- Affordable residential units – As the housing deficit in Lagos widens every day, the need for housing package that will meet the need for low-middle level income earners becomes paramount. You can utilise your plot of land to build standard 2-bedroom apartments or duplex and rent out for annual rental income. This is the common strategies to making steady cash flow from real estate business as a beginner.
- Factory – As demand for essential household products increases, you can build a factory for mass production, partner with distributors and sell to wholesalers for profit. For instance, you can build a bottled water manufacturing company on your land and turn it into a mega business in short time.
- Office space – For land cited in an industrial area or densely populated region where commercial activities are expected to pick up, you can build units of office or co-working space, rent it out to interested business owners and earn rental income.
- Guesthouse – This is another profitable building you can mount on a plot of land located in an area where migration is expected to increase. For instance, Ibeju Lekki is an area where such business will thrive as investors, staff and business owners look for temporary accommodation or short stay services.
While these are what you can build on a plot of land in Lagos state, you may still want to find available properties that are available in good and fast developing locations.