Let's say you have N20m and want to invest in properties, what is the type of structure you can build and make your capital in the quickest time possible, from rents.

Duplexes
Bungalows
Block of flats
Shops
Mall
School hostel
Self contain
Face me I face you rooms.

What do you think.

@Poster,
We Estate Surveyors charge for this information o, it's not free, lol But let me hint you, it depends on the locality, town and land economic factors.

Let's say you have the same N20m and is given a free choice over the area to choose to maximize your returns, which type of structure will give you your capital in the shortest timeframe.

Ok, what we basically look at is annual returns as against expended sum(capital). Assuming N20m can build a duplex or 4 Nos of 2 Bedroom Flats or 10 Nos of Face me I Face You rooms, we now ask ourselves, how much will each of these options command yearly?

Assuming a duplex goes for say N1m p.a, 2 Bed Flat @ say N300k and self con @ say N150k in a particular neighborhood, your most viable option in this case is definately the self con, based on earlier mentioned assumptions.

Also, assuming in that neighbourhood, for instance, the demand for duplex is very low(i dont know where u reside so cant give locational examples). You would be left with the other two options, of which the self con still remains the most viable.

But if it's in a GRA, where zoning and town planning regulations guide devp, u'ld have to compare the returns from a well finished duplex and a well finished block of flats. Whichever has a prospect of higher returns is the biscuit.

I hope this helps.

for me is

School hostel
Self contain
Shops
Mall

Someone insisted to me face me I face you pays better! Surprised as I am, he bought me over with arguments about the construction cost and the number of tenants.

Face me is for low income earners. Nobody does that in Lagos anymore. Except your talking about other places.

Your best bet is BLOCK OF FLATS. Take it as the gospel truth. It should be a mix of two and three bedroom. It should never be more than that. Your architect should also consider the use of dummy areas for a single self - contain.

If you r considering sale after construction, it must never be less than four bedroom.

And lastly, pls avoid commercial developments (mails, shops etc) with the kind of money you have. You might end up giving the bulk of it to govt charges.

Cheers!

@design 5, I don't stay in lagos, and I don't build in Lagos. In places like Enugu, rooms makes more money.

I do mainly commercial properties for rent. I also do residential properties for rent and if I get good offers, I sell. Besides I feel more comfortable in the east.

Self contain is the fastest. . .4me

If you intend raising a residential building close to a university,a students hostel will do you well.if not,go for block of flats.
I prefer a shopping mall though

I think selt contains are in vogue now, many working class ppl are constantly on the move and don't carry their families everywhere, students, bachelors/spinsters (mostly bankers and telecom) employees. The rent won't be bad at all.

If you are looking at ROI in the rental market.
The magic is Self contain aka Sardine pack
Great for young families, bachelors, spinsters e.t.c
Provide amenities according to the location
Make sure all have borehole water,
Lekki- Parking space per apartment.( not too big rooms),security,interlocking,aluminum roof,tiled flooring,Above average restroom e.t.c
Sango ota- Big rooms as opposed to parking space,No need for security or interlocking,Basic roofing sheet,no need to tile,WC and cement floor,Iron secure doors
Bare in mind development value,
Similar cost of building
Higher rate in building
Lower rate in Sango
Or go for close to a UNiversity campus and use the lekki model for female hostel
and Sango Ota model for Male hostel.
Good luck with your project

nothing like self contain apartments

School Hostels especially the hostels in state schools! Fastest Returns ever!

I attended a state school and i graduated years back and i was paying N60,000 per annum and we were 2 in a room o! Imagine and the landlord had like 30 rooms.

What a bloody wise man. I heard one room goes for N150,000 per room space and people are rushing it. Students ehen! Forever loaded!

In a position to invest up to N200m over a period of 6months on property in abuja.Thinking of buying plot or plots,build and sell.Pls advise the best options in terms of returns on investment.I can only start with an expenditure not more than N60m right now but will be in a position to finance the project by additional N140M over the next period of 6months.Advise the type,the location,the scope etc.Thanks for your expected advice.

I had always thought a 12 Unit 3BR apartments would yield a higher ROI. However, I friend called me from stateside, that he had to pay 200k for a two bedroom face me I face you for his brother, then I was like, wow, so they now cost that much?. Now, if that's the cost, it may be an option to think about, since, besides the land, it would cost very little to put up a 48 room(room and palor attached). 12 doors facing 12 doors, each door with two rooms. Once again depending on the area, these may be vacant for too long, you may get tenants who are unable to continue paying and a few more related risk.
Conversely, 3 or 2BR flats in a good area is a no brainer. You can't go wrong on the ROI, just that, it would very well cost more than the face me structures. With the right team of workers, you could finish a face me in a month. I'm looking at a 12 or 15 3BR units in an already developed area. like buy some face me in Ketu and pull it down for multiple unit.
I do some time feel bad about crushing 12-15 families in such a small place, then again, I think of the good side, providing accommodation for someone somewhere.
PS: It would be great if any builder can offer specific deliverables for either of the project suggestions. Cost difference, ROI and government approval procedures.

poster, don't even waste your time and waste your health building. building anything right now with the Zap.e.d up workers in the country right now, you'll only regret doing it. and the tennants will mess up the whole place banging nails and wires and making all sorts of shit in that place. you'll only end up with high blood pressure and using the rent money for repairs and maintenance. go drop it in the bank and collect your cool 16% and smile home with your cash and interest intact. a wise man is one who learns from other peoples mistakes, not from his. think about what i said.

@last threader, you made it sound like we're all in Afghanistan, please, its not that bad. Trust me, I see where you're coming from. Naijas are tough to the core, the same reason ROI in naija are one of the highest in the world, depending on what you're doing and how you're doing it. Building is tough, fact is that, once you start to build, you had just signalled that you have a lot of money, so everybody wants to "chop" from you. Once again, you can manage that with proper project and risk management.
As per property upkeep, trust me, naija offers the cheapest. I have rented in the US before, landlords fix nearly everything, your light goes off you call the landlord, you got plumbing issues, landlord- i some what miss those days-, but in Naija, you only see landlord at the end of your three year lease, I mean in most cases. Security, sweeping and the likes are the tenants. So, pal, its not as bad.
By the way, where is that bank that offers 16%? sounds pretty good, please share with the house.

hey men i know property investment is good in Nigeria, secondly if you you shit to sell and can market it you ROI is almost 100% in Nigeria, the reason why the Chinese kill not kill all the Ibo's is because the can't figure it out ROI in Nigeria is even far profitable that china. hey we still need that info on back that offers 16% on savings account also is this a fixed or floating rate, and is it calculated as APR. hey give the info out lets make some clean money not like those senators who keep stealing our money.

Houses in naija are just goldmines, some return as much as 25% per annum! Let us keep the suggestions rolling cause we are all learning.

Hey!am a student of university of nigeria enugu campus.ma advise 4 u since u said u want 2 go into investment in enugu,is 2 build hostels 4 students very close 2 d skool.because presently our hostels in d skool is in a delapatin state nd most students r lookin 4 hostels off camp.bt u no how houses r dificult 2 find in enugu.so i'l say u stick 2 skool hostels

@e9teen,how much is a good room with toilet/bath,kitchen going for near your school campus?

Such goes 4 120k close 2 d skool,

@e9teen,how much will 2500square metres of good and certificated land around the area will go for?With of cost land known,we can then do the profitability analysis and see how viable the project might be.

@katki,lik i said am jst a student so i dont know d value of lands around here.u used ma fields terms,r u an estate surveyor&valuer cos am 1 in da makin

Thank you e9teen, school hostel is very profitable in Enugu town, but the cost of the land is my major concern. Lands very near to the school in Enugu must be within Independence L/out, New layout or Uwani. Those areas are expensive but am looking for something around behind timber shed, near ind/layout and have a plot in mind for N2m. It will be enough to give me 24 units of 1 room self contain at N120k per annum.

Cost of building will be in the region of N10-12m. With the little maths I made it will roll in 2.4m per year, that's like 20% per year. I can live with that.

AL-qeada may be right, it may make more sense to get about 15% on your money without the stress of building than to receive just 20% after the stress and frustration of putting a building together.

Believe me, building is tough, except you have enough dough to make another person handle part of the stress and that ofcourse increases your capital.

I'm loving this.

Keep it going, please.

@invisible,pls what is the size of plot in sm you are having in mind for the N2M?What is area of each unit of the you think is normal around the schools.Will 12sm for room,toilet/bath and kitchen be ok?