“Many businesses and companies have folded up completely, while some others are barely afloat and have reduced staff strength and office space for them to survive. A factual visit to Victoria Island, once the prime commercial district of Lagos gives a clear picture. The take-up rate for commercial office space is slow primarily as a result of the economy.”
According to the report, following the COVID-19 pandemic, many companies adopted the work-from-home model, which proved to be a cost-effective solution.
“Following the Covid-19 pandemic and the introduction of work from home, many firms sustained this practice, having appraised its cost-benefit and used the model to reduce their space needs and, in effect long-term operational costs.
“Commercial real estate in the larger part of Mainland Lagos had a fairly good run in 2023, recording a 25-30 per cent increase over rental values in the previous year 2022. Ikeja GRA recorded an even higher increase of 30-35 per cent increase.
“Commercial space in 2023, let for N60,000 per square metre in Ikeja CBD Alausa, N80,000 per square metre in Ikeja GRA, N40,000 per square metre in Computer Village, N30,000 per square metre in Ikorodu and between N40,000- 60,000 per square metre on Ikorodu Expressway, amongst others,” it indicated.
