Luxury property values in Lagos have surged sharply over the past year, with a portfolio of 10 high-end investment assets rising to ₦25.6 billion from ₦9.3 billion recorded in December 2024, according to industry data.
The strongest gains were recorded in Ikoyi, one of Nigeria’s most exclusive neighbourhoods, where property values increased between 132 per cent and 176 per cent. Analysts attribute the surge to strong investor demand and the impact of the naira’s devaluation, which has favoured buyers holding stronger foreign currencies.
Despite the emergence of new upscale districts across Lagos, Ikoyi continues to attract premium residential and commercial investments, reinforcing its reputation as a top destination for high-yield real estate.
David Mbah, chief executive officer of MDS Properties, noted that the area remains the first choice for luxury developments, with only Eko Atlantic offering comparable exclusivity.
He explained that most new projects in Ikoyi involve redeveloping older structures into modern high-rise residential buildings that command higher sale and rental values, making such investments highly profitable.
Several properties within the surveyed portfolio recorded major value jumps. A prime parcel at Sapara Williams rose to ₦4.02 billion from ₦1.73 billion, while a Macdonald Road property climbed to ₦3.15 billion from ₦1.14 billion. A Sinari Daranijo asset appreciated to ₦6.93 billion from ₦2.69 billion, becoming the most valuable property in the portfolio. Another property in Rumens appreciated by 196 per cent to ₦5.05 billion.
Abuja’s high-end market also recorded growth, though at a more moderate pace. A property on Mike Akhigbe Street increased to ₦1.8 billion from about ₦418 million, while an Ago Dutse location rose to ₦600 million from approximately ₦248 million.
Industry professionals say inflation and currency depreciation have played a major role in pushing up property prices across Lagos.
Chudi Ubosi, principal partner at Ubosi Eleh & Co, noted that land on Cooper Road that sold for about ₦800,000 per square metre in January 2024 now commands as much as ₦3.5 million per square metre.
He added that prices have also increased on the mainland. In Ikeja GRA, land now sells for around ₦1.5 million per square metre, up from ₦600,000, while a three-bedroom flat rents for about ₦15 million per year, compared to ₦5 million previously.
Rental values in top locations have risen even more sharply. In Banana Island, an average duplex now rents for between ₦80 million and ₦100 million annually.
Ubosi urged authorities to ease pressure on the city centre by expanding transport infrastructure into surrounding areas through coastal roads, rail systems and waterways.
Charles Ihedigbo, a former managing director at Fine and Country, also confirmed the surge in Ikoyi property values, attributing it to limited land supply and sustained demand.
According to him, land that sold for about ₦1.5 million per square metre in 2024 now goes for roughly ₦3.5 million per square metre, noting that land typically appreciates faster than built structures because of its development flexibility.
Lagos, Africa’s most populous city with more than 20 million residents, continues to attract both local and international investors, sustaining demand for premium real estate despite infrastructure constraints.
