Lagos – Mr Afolabi Solesi, a former Chairman of Lagos Branch of Nigerian Institution of Surveyors (NIS), has called for Public-Private Partnership (PPP) in housing delivery in the country.
Solesi told the News Agency of Nigeria (NAN) in Lagos on Wednesday that the housing deficit in the country was due to poor engagement of private sector operators in housing delivery.
He said that the few private companies and individuals who were into property development could not achieve much because they were not encouraged by the government with incentives.
The expert said that private individuals, who invested in the sector, did so to make profit and so priced the houses above the reach of the masses.
According to him, active participation of private sector operators in the industry will Reduce cost of houses, provide affordable accommodation and address the issue of housing deficit.
“Since it has became difficult for the government alone to build enough houses for the populace, it can still provide houses for low income earners through the PPP, ” he said.
Solesi, however, said that for PPP to make significant impact in addressing the housing needs of the teaming population, government should go beyond the provision of land and policies.
He suggested that the government should provide credit facilities and grant other incentives to private housing developers.
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“Examples of such incentives are import duty waivers on building materials, provision of credit facilities through effective mortgage scheme and tax holidays.
“Introduction of realistic building regulations and the removal of restrictive legislation such as the Land Use Act of 1978 are some of the factors that could make for a conducive environment for private sector to operate.
“Meanwhile, government should critically look at all the parties that are involved in PPP to ensure that none of the parties will be shortchanged in the process,” he told NAN.
Solesi attributed the high cost of houses to high cost of building materials and other challenges being encountered by developers.
“If the cost of building could be subsidized and other challenges tackled, private investors will be able to build with low cost so as to rent at cheap and affordable prices,” he said.
Solesi enjoined participants in PPP to convert some percentages of their equity holdings and profits into the provision of low-income housing as part of their social responsibility initiatives. (NAN)