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The Nigerian commercial real estate is set to deliver over 70,000 square metres (sqm) of retail space in various locations in the country by end of the year. Bismarck Rewane, CEO, Financial Derivatives Company Limited, made the disclosure in his monthly economic review in Lagos recently. The renowned economist also disclosed that 2016 and 2017 will bring on stream about 180,100sqm retail space across various parts of the country.

There is the 13,000sqm Owerri Mall in Imo State; 11,000sqm Circle Mall in Lekki, Lagos State; 13,000sqm Festival Mall in Festac Town, the 7,000sqm Maryland Mall, Ikeja, also in Lagos State; and the 26,000sqm Jabi Lake Mall in Abuja, FCT.

The projects are being developed by Resilient Africa from South Africa, RMB Wesport also from South Africa, UAC Property Development Company (UPDC) Plc, Purple Capital Partners Limited, and Actis in partnership with Duval Properties. In aggregate, these projects are set to introduce Nigerians to a whole new shopping experience and will create job opportunities.

Despite the rise in vacancy rate in commercial real estate from 48 percent in June, to 54 percent in July, Mr. Rewane said investment in retail will continue to increase, as investors have identified opportunities in what is considered ‘second tier’ cities in the country.

“We are capitalising on the huge demand for quality retail space from Nigeria’s emerging middle class. This is fuelled by a fast-growing aspiring population with considerable buying power, rapid urbanisation and improved infrastructure to invest in retail and mixed-use developments with multi-national anchors in state capitals or ‘second-tier’ cities of Nigeria”, Peter Collins, CEO, Grand Towers Property Fund, said in Lagos recently.

Upcoming projects, which constitute new investments, include Asaba Mall in Delta State with 13,000sqm, Onitsha Mall in Anambra State with 15,000sqm, Benin Mall in Edo State with 13,000sqm, and Abeokuta Mall in Ogun State which has a 15,600sqm capacity.