CurrentReport Blog In recent months, Nigeria has witnessed a staggering increase in cement prices, making it exceedingly challenging for landowners to embark on new construction projects. According to recent reports, the cost of a bag of cement has skyrocketed, ranging between N10,000 to N14,000. This surge in prices has had far-reaching implications across various sectors of the economy, particularly in the real estate and construction industries.
As cement prices continue to soar, Nigerians are increasingly exploring alternative building materials to mitigate the financial strain imposed by the inflated costs of traditional construction supplies. Reports indicate a growing trend of utilizing shipping containers as a substitute for conventional building materials. This shift towards container-based construction is attributed to advancements in technology and production systems, enabling innovative solutions to emerge amidst the challenging economic landscape.
The repercussions of the exorbitant cement prices extend beyond individual homeowners to encompass broader implications for rental markets. Even homeowners who constructed their residences decades ago are feeling the impact, as they are compelled to adjust rental rates to offset the escalating costs of maintenance and renovations. The domino effect of rising construction expenses reverberates throughout the real estate ecosystem, affecting both landlords and tenants alike.
In light of these challenges, individuals like Folawe Adeniran, an auto dealer based in Benin, are compelled to reconsider their construction plans due to prohibitive costs. Adeniran shared his experience of facing a staggering increase in construction quotations, citing a notable surge from N2 million to N4 million for a modest building project.
“The engineer told me that he had to cut costs to arrive at that figure which excludes workmanship.
“He cited the cost of cement and sand which is also affecting the price of blocks.
“I had to resort to building with containers
“This building is made with containers and is heat free as people used to think building with containers attracts lots of heat” Adeniran Said
