?Just another Saturday night in Lagos, one of Africa’s money- and contrast-rich boomtowns. Already a city of superlatives on the continent (it has variously been deemed Africa’s most traffic-plagued, most populous and fastest-growing megacity), Lagos has a new title to add to its mantel: most expensive.

Lagos has always been one of the most powerful commercial hubs in West Africa, ever since slaves were first shipped from here to Europe and the Americas. But because of the rising price of oil, the declining United States dollar, the relocation of foreign workers from the oil-rich but kidnapping-prone Niger Delta, large privatization efforts and a mad dash for the city’s remaining plots of land, Lagos is more flush with cash and full of glitter than ever.

A recent study of the most expensive cities for expatriates by the consulting firm Mercer found that Lagos ranked 30th, making it only slightly less costly than New York but considerably more expensive than Los Angeles, Miami and Washington.

Even European cities like Stockholm and Barcelona, Spain, were found to be more affordable — and in Lagos the high prices are that much more eye-popping because the average Nigerian survives on less than $2 a day.

Evidence of vast amounts of money floating around the “islands” — two small pieces of land poking into the Atlantic that anchor the city’s economic activity and are home to banks, consulates and oil and telecommunications companies — is everywhere. Dinner for two at an average restaurant costs more than $200. A cocktail costs more than $15. A box of cereal costs $12 at a supermarket. Hotel rooms under $400 are difficult to find.

In the aisles of glistening new malls, expatriates and wealthy Nigerians often buy $10,000 watches and $5,000 cellphones. New BMWs, Mercedes-Benzes and Bentleys plod through grinding traffic, bumping over rocks and weaving around potholes.

bluehorizo:

Some are true and while some are force. In lagos of today you can still find hotels of 2000 naira and i[b] wonder who would spend a whole lot of money as much as $5000 on a phone[/b]. I think these people should investigate their stories before taking it to the print. Though Lagos is expensive but not as portrayed by this Western media.

Hotel rooms under $400 are difficult to find

RichyBlacK:

Lagos is expensive, but the truth is that almost everything is over-priced. The bubble is waiting to burst!

bluehorizo:

Exactly

bluehorizo:

Yes you can find hotels of 2000 naira in Lagos. It might be of low standard and not in a good enviroment. "[/b].

Lagos is expensive, but the truth is that almost everything is over-priced. The bubble is waiting to burst!

landis:

Good hotels in Lagos starts from N60,000 per night. Food not included.

These hotels are 3stars as they do not match same quality as 5stars in other part of the world.

bluehorizo:

Standard Double room in Lagos Airport Hotel is $175,the Luxury room is $255

http://www.lagosairporthotelltd.com/rezeasy.html

Protea Hotel Oakwood Park Nigeria
Lekki Expressway/Chevron Drive, LAGOS, Nigeria

SINGLE ROOM $295

DOUBLE ROOM$340

BREAKFAST INCLUSIVE

http://www.southtravels.com/africa/nigeria/oakwoodpark/index.html

RichyBlacK:

Lagos is expensive, but the truth is that almost everything is over-priced. The bubble is waiting to burst!

landis:

Airport hotel is one of the WORST places to stay in Nigeria. The TAP water is BROWN.

The bed cover is a disaster and smiley. Please don't even mention that hotel!

landis:


Protea Oakwood starts from $360(special rates). Called them and don't believe the crap on the website.

Some are true and while some are false. In lagos of today you can still find hotels of 2000 naira and i wonder who would spend a whole lot of money as much as $5000 on a phone. I think these people should investigate their stories before taking it to the print. Though Lagos is expensive but not as portrayed by this Western media.

When you say Lagos is a Bubble waiting to burst, what do you mean? These rents/Apartments are payed for with cash and not credit from banks.

Iyke-D:

I am no economist but something tells me that its a non-sustainable trend. Sooner or later, the cost of doing business (paying rent alone) will out-weigh whatever profits that brought the company in there to begin with.
Even in the US, companies relocates all the time when the cost of rents becomes unbearable or obscene unless
we are saying Lagos defies every common logic known to mankind per cost of doing business.

Simply put, can these oil companies continue to shell out $50,000 or more to pay for rent for an employee (yet to factor the salary) should the barrel of oil drop to half of what it is today? Since oil is the life line of the country, will there be that much easy cash in circulation from government contracts if oil prices fall further? One can only imagine the amount of money made by stock market speculators that went into buying real estate in Lagos last
year, that is certainly not happening this year because the market is seeing serious red.

Lagos has always been that way- huge gap between the rich and the poor.

nothing new there.

Some of the most expensive property has always been located in Lagos.

Dont confuse lagos money with relatively recent oil money please.

Lagos is not the Niger delta.

Iyke-D:

Relatively recent oil money? I see your point but are you saying the oil & gas industry
by and large has not had any impact in Lagos economy since oil was found in Nigeria?

Is someone suggesting that the current pace real estate is going up in Lagos is one
that can be sustained in the years to come if there is a drastic drop in the price of oil?

I agree with you there. However, how much of the money comes from Oil Companies. I am not sure @Gamine works for any of the oil companies and I can not state that even 30% of those who are willing to pay these absurd prices get their money from the oil sector. There is the boom in financial sector of recent and I believe when it comes to Lagos, I would say more money flows in to fuel these spending sprees from that sector than does from the oil sector. Would this be a wrong assumption?