Governor of Lagos State

Transcription

1 His Excellency, Mr. Akinwunmi Ambode Governor of Lagos State 1

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3 OUR VISION LAGOS MEGA CITY WITH ADEQUATE HOUSING FOR ITS CITIZENRY OUR MISSION TO ENSURE THE PROVISION OF ADEQUATE AND GOOD QUALITY HOUSING IN LAGOS MEGA CITY AND FACILITATE EASY ACCESS OF ITS CITIZENS TO HOME OWNERSHIP 3

4 INTRODUCTION Shelter is one of the three basic necessities of life, others being food and clothing. In view of the rapid urbanisation which has led to tremendous increase in population in the State, these two factors have put the housing deficit at 3 million. The Administration of His Excellency, Mr. Akinwunmi Ambode, Executive Governor of Lagos State, armed with these facts, introduced the Lagos Affordable Public Housing (LAPH) Initiative, aimed at constructing 20,000 housing units by the Year 2020 through partnership with Joint Venture Partners. In addition, the State Government in further mitigating the housing shortfall is tackling the issue from both the supply and demand ends with the prioritising of completion of on-going housing estates on the supply side and introduction of Rent-To-Own and Rental Housing Policies on the demand side. 4

5 1.0 FACTS ABOUT LAGOS STATE 3,577km2 space; smallest in Nigeria (0.4%); 20 LGAs & 37 LCDAs (only 2 are semi-urban). Maritime environment, 180km coastline, low lying along the coast (0-3m ASL). Population: 21million (2012); 27.4% of Nigeria's urban population (most populous); r a p i d l y g r o w i n g, 6 % - 8 % G r o w t h Rate/Nigeria's average is 2.9% per annum; world's 3rd largest mega city. Very high population density: Small space + high net immigration; proliferation of informal housing. Highest concentration of economic activities; Destination for Nigeria's ethnic nationalities & ECOWAS citizens; 5th largest economy in Africa. Serious urban management challenges of which housing is a major component. 5

6 Lagos Urban Growth Footprint 1900s - till Date Available Land Urban Growth Swamp Vegetation Available Land Urban Growth Swamp Vegetation 6

7 Lagos Urban Growth Footprint 1900s - till Date Cont d Available Land Urban Growth Swamp Vegetation Available Land Urban Growth Swamp Vegetation 7

8 Lagos Urban Growth Footprint 1900s - till Date Cont d Available Land Urban Growth Swamp Vegetation Available Land Urban Growth Swamp Vegetation Urban Growth Extensions 8

9 ECONOMIC OUTLOOK OF LAGOS STATE Gross Domestic Product (GDP) the State grew by 10% in 2017 and accounted for 25.6% of Nigeria GDP in 2016 Sector Contribution to Lagos State GDP Commercial activities 15.02% Manufacturing 49.31% Agricultural 1.77% Communication 3.99% Transportation 28.44% Year 2017 Budget - =N= Billion Capital/Recurrent Budget Ratio 63/37 Fitch Rating of economy B+ 9

10 HOUSING CHALLENGES 17 million housing deficit nationwide; about 3million in Lagos alone. Inadequate yearly addition both by government & private sectors. To address the deficit in Lagos State, a total of 187,500 units is required yearly in the next 5years to bridge the gap. Scarcity of funds and high cost of building inputs. Non-deployment of new technology in mass housing delivery. Dearth of skilled labour and manpower. Inadequate Housing finance by Mortgage Institutions at 0.5% contributions to the National GDP. Double digit housing loans; 19%+ which decreases purchasing power of the low and medium income earners. 10

11 GOVERNMENT POLICIES TO TACKLE HOUSING CHALLENGES Creation of the Ministry of Housing in Enactment of Lagos Mortgage Law, Establishment of the Lagos Mortgage Board (LMB), Introduction of Lagos Home Ownership Mortgage Scheme (LagosHOMS) Project Initiative. Creation of Lagos State Real Estate Transaction Department (LASRETRAD), Appointment of Facility Managers. Introduction of Outright Sales and Rent-To- Own Schemes, Introduction of the Master Craftsman Project,

12 LAGOS AFFORDABLE PUBLIC HOUSING (L. A. P. H) The Lagos Affordable Public Housing (LAPH) Initiative was introduced by the Lagos State Government to encourage private funds in the provision of houses to enable the state bridge the gap in the housing deficit. By this initiative, the State intends to provide 20,000 housing units over a period of 4(Four) years beginning from This initiative is implemented through a Joint Venture arrangement between the State and the private investor/joint Venture Partner. Under this initiative, the State provides land, the documentation in terms of permits, approvals, registration of documents and stamping as its own contribution to the Joint Venture while the Joint Venture Partner provides funds and its expertise as it contribution. 12

13 LAGOS AFFORDABLE PUBLIC HOUSING (L. A. P. H) In line with the investment policy of LASG and for the purpose of creating an investment data base, title to the project site shall be vested in IBILE HOLDINGS LIMITED, the investment agency of the State government which will in turn grant a Deed of Sublease of the unexpired residue of its interest to the Special Purpose Vehicle/Project Company to be incorporated for the purpose of execution and management of the project The Special Purpose Vehicle (SPV)/Project Company is made up of both parties and the shareholding will be based on the value of the equity contribution of the parties. 13

14 JOINT VENTURE PARTNERSHIP * Provides titled and unencumbered land for the project; * Ensure the procurement of requisite approval for development and documentation * Ensure the technical and financial capability of developer; *Executes Joint Venture Agreement; * Incorporation of Special Purpose Vehicle (SPV)/ Project Company. * Monitor the project in line with laid down terms and conditions stated in the Joint Venture Agreement; * Sharing of profit based on the percentage of contribution of each party * Issues the Deed of Sublease on each Housing Unit on allocation; * Appoints Estate and Facility Managers for the project on completion. * Responsible for funding; * Preparation of a comprehensive development plan by appropriate professional. * Site preparation; * Undertakes marketing and sale of housing units from inception and through the project including off plan sales construction. * Commissions the project; 14

15 STANDARD REQUIREMENTS FOR WOULD BE INVESTORS Any corporate body interested in partnership with Government must produce the following documents as standard requirements. Detailed company profile; Certificate of incorporation; Evidence of payment of income tax; Particulars of Directors; Evidence of Company share capital; Evidence of financial capability. 15

16 OUR ROAD MAP Type of construction: Systems Building Time of Delivery Price Typology: Studio 2 (34m ); 1-Bedroom 2 (60m ); 2- Bedroom 2 (120m ) & 3-Bedroom 2 (150 ) Apartments Delivery Target: 20,000 housing units by Density 16

17 PICTURES OF MASS HOUSING 17

18 PICTURES OF MASS HOUSING CONT D 18

19 PICTURES OF MASS HOUSING CONT D 19

20 MINISTRY Designed by OF HOUSING N.T.S Checked by Scale OCTOBER, 2017 Date Drawing Title Drawing Code Sheet No GROUND FLOOR PLAN 1003 SIGN Seal: A B C D E F G H I J K L 1 TERRACE TERRACE BEDROOM KITCHEN BEDROOM BEDROOM 1 BEDROOM LIVING ROOM LIVING ROOM KITCHEN TERRACE TERRACE TOILET KITCH. KITCH. TOILET KITCHEN BEDROOM KITCHEN 900 LIVING ROOM LIVING ROOM BEDROOM BEDROOM BEDROOM STUDIO STUDIO BEDROOM 7300 BEDROOM TERRACE TERRACE A B C D E F G H I J K L NOTES & SPECIFICATION REVISIONS S\/N DATE PROJECT AGENCY EPE HOUSING SCHEME LAGOS STATE GOVERNMENT 24-IN-1 (16 NOS 1-BEDROOM FLAT) MINISTRY OF HOUSING & (8 NOS STUDIO APARTMENT) 20

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22 A C G STAIR BEDROOM 900 DINING KITCHEN KITCHEN DINING TOI BEDROOM 4125 MAIN\ LOUNG MAIN\ LOUNG 4725 UP vitrified\ 4725 tile

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24 A B D F BEDROOM KITCHEN KITCHEN BEDROOM TOILET TOILET DINING TOILETOILET DINING LIVING ROOM LIVING ROOM

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26 INVESTMENT ATTRACTIONS. Large population Reduced Cost and Time in Perfecting Land Titles 26

27 INVESTMENT ATTRACTIONS CONT D. Electronic processing of title documents and development permits resulting in Fast-tracking of applications for statutory approvals Granting of waivers/concessions on statutory fees 27

28 INVESTMENT ATTRACTIONS CONT D. Institutions in place to secure property rights (PPP Law, Judicial Reform, Mortgage Law, Tenancy Law etc.) Provision of Fibre access (Internet Services) to Housing Estates. 28

29 INVESTMENT OPPORTUNITIES. Transit oriented development (Residential and commercial developments along the Lagos Light-Rail (Blue and Red lines) stations Development of Estates and other value chain advantages 29

30 INVESTMENT OPPORTUNITIES CONT D. Building components and materials factories New building technologies 30

31 INVESTMENT OPPORTUNITIES CONT D. Construction and Mortgage Finance from Local and International Lenders Property/Facility Management Automation of Real Estate Transactions 31

32 HOUSING FINANCE SYSTEM To ensure an holistic and seamless execution of the Lagos Affordable Public Housing (L.A.P.H.) Initiative of the Governor Akinwunmi Ambode's administration, Lagos State has set in motion Housing Finance System in line with the Mission Statement of the Ministry under the Lagos Affordable Public Housing. The State takes note of the prevailing economic situation and the possible challenges of funding the purchase of a home, the State in collaboration with its Joint Development Partners initiated an arrangement with Primary Mortgage Institutions (PMI) and Nigeria Mortgage Refinance Company (NMRC) to facilitate the creation of mortgages for subscribers to the housing units under the initiative. 32

33 HOUSING FINANCE SYSTEM The refinancing agreement will assist the supply side as well as the demand side of the value chain as it will set in motion a revolving pool of funds for mortgage origination which will assist developers and provide them access to construction finance and help scale up housing delivery. It will also avail citizens of the State the affordability and accessibility that NMRC provides through the refinancing of longterm mortgages thereby unlocking its multiplier effects on the State's strong economy, including jobs and wealth creation. Such efforts include the effective repositioning of housing provision institutions in the State and the successful implementation of the Rent-To-Own scheme which has driven the growth of the sector and enabled many Lagosians realize their dreams of affordable home ownership. 33

34 CONCLUSION Lagos State Government is poised to bridge the housing deficit gap by welcoming local and foreign Investors. To this end, the State initiated policies that will support and boost the Residential Mortgage Markets which is simply the means through which Real Estate Transactions are financed and a key indicator of the level of development of a State's entire economy where Government use them to promote their social and economic policies. Thank You ITESIWAJU IPINLE EKO LO JE WA LOGUN!!! December,