PROPERTY NEWS

POC Nigeria Limited, an indigenous project developer and Skye Bank Plc, had recently signed a N5bn contract with selected contractors to deliver Sapphire Garden located at Lekki peninsula in Lagos in the next 24 weeks.

The Chief Executive Officer, POC Nigeria Limited, Mr. Paul Osaji, while speaking with reporters after the official contract signing ceremony in Lagos, stated that Sky Bank was the sole financier of the garden to be built on 50 hectares of land.

The Managing Director of the bank, Mr. Akinsola Akinfemiwa, stated that the bank funded the project because it believed in it and the promoters, who according to him, were thorough bred professionals.

Osuji, who said the project had been divided into two phases, stated that only 25 hectares would be developed in the first phase while the second phase takes off thereafter.

Speaking specifically on the role of Skye Bank in the project, Osuji said the N5bn was for the first phase of the construction; adding that more fund might be need for the second phase. He, however, expressed optimism that Skye Bank would oblige to provide more funds if required.

He said, "The N5bn is the initial fund provided for the first phase of the project because we have broken the project into two phases. We are developing 25 hectares in the first phase and the second phase will come after the first phase has been completed. The N5bn is to start the initial construction of the first phase. If we need additional sum, which I think we may need, we will have to source for it. And I believe Skye Bank, as usual, will say yes."

Osuji, who stated that 80 per cent of horizontal development such as roads, drainages, boreholes, and walk ways had been completed, said the garden would be home to many in 24 weeks‘ time.

"It will be a home where people can live in the next 24 weeks. We are sure of this because we took our time in selecting the contractors. They are performers and are very conversant with the real estate development market. And we have the finance to support it because Skye Bank is behind us," he said.

Speaking on the value adding feature of the garden, Osuji said, "The project was conceived to be a green residential environment designed to provide real affordable homes in a master plan community with greater percentage of the land area devoted to green."

Osuji, who assured that the houses woud be affordable, said " We took everybody into consideration in designing because we have ordinary flats, deluxe, semi-detached, detached, town and terrace houses. The idea is to have an array of house styles so that every individual can have an entry into the housing market and have the opportunity to live in a good environment."

He said a three bedroom flat, the lowest of all the categories of houses in the garden, would go for about N17m at completion; adding that Skye Bank and other banks with mortgage products, would also provide mortgage financing for potential buyers.

Osuji, who lamented the shortage of housing in the country, urged the Federal Government to reduce the cost of construction and provide more infrastructures that will help reduce cost of building. He also called on the government to look into the way estate developers were taxed.

"Government can do a lot by tempering the cost of development and providing infrastructure like good roads, electricity, sewer treatment plants, drainages as well as locating them close to the corridors of development will make it easier and cheaper to build. Government should also temper the way and manner they tax developers and possibly give them subsidy of sort. This can be in the area of providing cheap finances for mortgage purposes so that the final home owner will pay less because if the cost of funding is high, it will affect him if he takes mortgage to own a home," he said.