Hi All

Please let me pick your brains on this matter.

In lagos here, I heard of an arrangement where developers would pool funds from different investors and raise a building, then lease the different apartments to the different investors who paid initially for a tenure of 15-20 years depending on the agreement with the landowner. At the end of the tenure, the building will belong to the land owner and all the tenants will find their way. Please let me know if you have done this or know about it. I'm considering it but it's like I can only see the rewards at the moment. what about the risks?

Very good thread


I want to know Abt it too

it's a very common practice here in Lagos. I have been involved in one or two.

The location of the land is of utmost importance.

it's called, Build, operate and transfer.

clarocuzioo:
it's a very common practice here in Lagos. I have been involved in one or two.

The location of the land is of utmost importance.

it's called, Build, operate and transfer.

Thanks man!

Any risks to consider?

Acrobatics01:


Thanks man!

Any risks to consider?

Just be smart in your negotiations and let your agreements be dully documented by a lawyer.

clarocuzioo:


Just be smart in your negotiations and let your agreements be dully documented by a lawyer.

Thanks again. I heard them quote 4m and 4.5m for a miniflat around yaba. Does is sound good?

Acrobatics01:


Thanks again. I heard them quote 4m and 4.5m for a miniflat around yaba. Does is sound good?

What is the land size
What is the land value
What exactly are they proposing
How long will it take them to deliver the project?
How long will they operate before they transfer?


Ask them these questions and it will help you u derstand certain things better.