Abuja – Mr Yero Bello, the Project Manager, Jicona Eco-Ranch Estate Ltd, Abuja, on Thursday, identified the lack of infrastructure and enabling environment as major reasons for housing deficit in the country.
Bello, in an interview with the News Agency of Nigeria (NAN) in Abuja, said that dearth of infrastructure, short-term funding and lack of enabling environment as the challenges faced by estate developers in the country.
He said government ought to develop and provide infrastructure because once there was no development, a land developer would end up at a very high cost.
He, however, advised the Federal Government to embark on the provision of infrastructure that would enhance housing development and give access to low income earners.
“Many a times the government will give out a land, 10 years down the line, infrastructural development will not be at the location of land given to be developed.
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“When you factor the lack of infrastructure, housing becomes unaffordable.
“Creating good road, light, water and other infrastructure where one is given land, enables the housing to go at a cheaper cost.
“All these are government responsibility, when the government doesn’t do it, the developers will be forced to do it, then the cost of the housing will be high,’’ he explained.
The estate developer also identified the need of long-term funding from the mortgage bank.
He said that lack of proper mortgage system could be discouraging and hamper development.
He appealed to the government to look into the requirements of mortgage financing and come up with minimum requirement to make it affordable.
“Nigerian banks will lend money to a developer and expect the developer to pay back in a short time; there is need for long-term mortgage finances.’’
“Government should create a bigger mortgage facility than what the Ministry of Land, Housing and Urban Development is offering,’’ he said.
He also noted that the process of acquiring genuine land from government was also too cumbersome; adding that it should be addressed properly.
The estate developer also said that high cost of building materials was another major constraint for developers.
He, therefore, urged the Federal Government to look into the housing challenges, to facilitate the housing projects and promote development in the housing sector. (NAN)