Now regarded as the Commercial Capital of Nigeria, Lagos has over the years established itself as one of the most economically successful states in the country.
Home to over 21 million people, the city has a reputation for a fast-paced lifestyle, vibrant culture, and bustling economy.
However, what is considered Nigeria’s best city is also considered the second worst place to live, according to a 2022 ranking by the Economist Intelligence Unit(EIU).
A recent article, quoted an American visitor as describing prime locations in the state “Ikoyi, Victoria Island, Banana Island, Park View Estate, Snake Island, Monkey Island, Crocodile Island, etc) as the most expensive slums in the world.
Yes, that’s the big elephant in the room,” Expensive Accommodation”.
VeoNews gathered that the cost of accommodation in Lagos is so high that it has become a major source of concern for many residents.
According to a report by the National Bureau of Statistics (NBS), the average cost of renting a one-bedroom apartment in Lagos is between N250,000 ($647) on the mainland to N1,000,000 ($2,589) per annum on the island, while a two-bedroom apartment costs between N350,000 ($906) on the mainland to N2,500,000 ($6,473) per annum.
This is a far cry from the minimum wage of N30,000 ($78) per month.
The high cost of accommodation in Lagos can be attributed to several factors, including the scarcity of land, the high demand for housing, and the cost of building materials.
Lagos is a small city with limited land, and this has resulted in a high cost of land acquisition and development.
Additionally, the high demand for housing in the city has led to a situation where landlords and property owners can charge exorbitant rents and get away with it.
Also, building materials are expensive in Nigeria, and this has led to a situation where the cost of building a house is ridiculously high. This, in turn, drives up the cost of rent as landlords seek to recoup their investment.
Implications
The high cost of accommodation in Lagos has serious implications for the city’s residents. Many residents are forced to live in cramped and substandard housing conditions, while others spend up to 50% of their annual income on rent.
This leaves little money for other basic necessities such as food, clothing, and healthcare.
The situation is particularly dire for low-income earners who make up the bulk of the city’s population.
Many low-income earners are forced to live in slums and informal settlements where they are exposed to a range of health and safety hazards.
This has led to a situation where Lagos is listed as one of the worst places to live in the world.
What Lagos State Government Needs to Do
In conclusion, the high cost of accommodation in Lagos is a major challenge that needs urgent attention.
It is expected that Governor Babajide Sanwo-Olu would in his continuing term, implement realistic policies that encourage the development of affordable housing and the provision of basic infrastructure in informal settlements
There is also a need for increased investment in the housing sector to reduce the cost of building materials and make housing more accessible to the majority of the population.
If the Government continues to turn a blind eye to the cost of accommodation, it would have more dire consequences for the state than positive impacts.
