The Chief Executive Officer of BO Properties, Ifedayo Okungbowa, has shed light on the continuous surge in property prices across Lagos, attributing the trend to a combination of urban growth, land scarcity, inflation, and infrastructure development.

In a recent interview, Okungbowa explained that the real estate market in Lagos is undergoing a transformation driven by demographic and economic shifts. “Lagos is not just growing; it’s evolving. The rapid urbanization, coupled with an ever-increasing population, is pushing demand for housing to record highs. This naturally translates to higher property prices, and it’s a trend we expect to persist,” he said.

Lagos, with a population expected to reach 17.2 million by 2025, has become a hotspot for real estate investment. The housing deficit across Nigeria, estimated at between 17 million and 28 million units, is most visible in the state, creating intense competition for available properties and contributing to rising costs.

Geographically bounded by water, Lagos faces limited land availability, which has made locations like Victoria Island and Ikoyi extremely valuable. “We’re surrounded by water – the Atlantic Ocean and lagoons – which means developable land is limited. Naturally, areas like Victoria Island and Ikoyi, which offer prime real estate, have seen prices climb aggressively due to scarcity,” Okungbowa noted.

Inflation and currency fluctuations have also added pressure on construction costs, further driving up property prices. According to him, “These rising costs trickle down to the end user, whether you’re buying or renting. The entire value chain is affected.” He cited examples such as the price of TMT iron rods, which rose from ₦420,000 per ton in March 2024 to ₦1.2 million in 2025, and cement now retailing at around ₦10,000 per 50kg bag, compared to ₦7,000-₦8,400 last year.

Infrastructure development has equally contributed to the surge. Areas like Ibeju-Lekki, benefiting from ongoing projects such as road expansions and the Lekki Free Trade Zone, are seeing rapid property value appreciation.

Despite these factors, Okungbowa maintains that the market still presents substantial opportunities. “Yes, prices are rising, but so is the return on investment. Demand for rental properties is high due to the housing deficit, and strategic investors can benefit immensely by targeting emerging areas,” he said.

He advised investors to consider up-and-coming locations like Yaba, Ikeja, Ajah, Ibeju-Lekki, and Surulere, which offer more affordable entry points and potential for strong future returns. He also emphasized diversification across different property types, the use of flexible payment plans, and strategic partnerships with financial institutions to navigate high-value investments.

Okungbowa further called on realtors and investors to stay informed about market trends, government policies, and infrastructure projects, stressing the importance of data-driven decisions. “At BO Properties, we are committed to empowering our clients with data-driven strategies, expert advice, and access to prime listings. The Lagos real estate boom is more than a trend—it’s a testament to the city’s resilience and potential,” he stated.

He concluded by inviting stakeholders to work with BO Properties, saying, “Join our community to benefit from exclusive property listings, expert guidance, and opportunities to network with industry leaders. Together, we can shape the future of real estate in Lagos.”

As property prices continue to rise, market watchers say the Lagos real estate sector remains a viable investment path for those equipped with the right information and strategy.