Historically the exact property development market in Nigeria has been vibrant. Even so, kent ridge residence if the current world economic slump started to take wait and see in September 2008, it drained the confidence out of many investors and current market nose-dived along with general economic situation. But with the signs of economic recovery beginning to adopt hold again, what prospects are there for an increase in the industrial property market?
When industrial and commercial property prices reached a good solid low, it signaled to show your internet. Firstly that the market was severely depressed and was likely keep that means for several years, but additionally that the bottom of the trough were definitily reached and that the best out, was up. Is not market having stabilized at its new low, it meant how the glut of distressed properties that were actually pouring in had stopped, and at a time laws of supply and demand in operation, more than excess of supply far outstripping demand, prices remained depressed.
However, given out 12 months has seen the signs and symptoms of recovery occurring in the commercial sector, by means of property prices still artificially low, it has begun to stimulate demand, as property development speculators are one again sensing the opportunity of making good short to medium term returns on new investments.
Office properties in particular are one among the current optimistic outlook. With economic forecasts being positive, albeit slow-moving, and prices being under they are, now a great time to buy. As confidence returns to the economy, possibly new letting agreements is rising and properties are once again beginning to move, resulting in a slow but steady rise in prices and rates. Is usually forecast that this trend continue slowly but surely, depleting the supply surplus which will eventually trigger a new bout of property development taking place.
Current thinking is this kind of may well lead for industrial property boom in 2014/15. However with regarding long gestation period kids developments to come to final fruition, the process needs staying kicked off now. Feasibility studies, surveys, finance – all in the things end up being in place before actual construction starting to reside.
All buying this is now a very positive time for property development. Industrial property investors have every reason become cautiously optimistic, as quick to medium term prospects are looking very positive, and it is now time to speculate and sow.