We all know and have at some point heard that real estate investment is one of the numerous and almost foolproof way of generating sustainable income, creating wealth and building an enviable asset portfolio as has been achieved by tens of thousands the world over. The fact is that in today’s fast-paced and upwardly mobile world, the need for certain forms of real estate investments have increased due to certain factors, however, in this article, we will focus on one form; HIGH RISE BUILDINGS
High rise buildings have been around for a very long time as can be seen even in the Biblical era when people attempted to erect a structure high enough to reach into the heavens; the Tower of Babel, at a time when there was no technological advancement whatsoever and no reasonable need for it. High rise buildings are not uncommon these days as there are tons of them dotting the skylines of major cities around the world.
In Nigeria, they are fast gaining popularity because land is limited as well as very expensive in desirable areas of the capital cities like Lagos and Abuja. However, many people have still not really bought the idea of investing in high rise buildings. Here are some reasons why high rise buildings will soon be the crown jewel of real estate.
- High demand and limited prime land for horizontal developments: Depending on the area, there is a constant high demand for residential apartments and office space particularly in the inner city areas due to rising population and influx to commercial hubs. Due to the limited land available and the constant need to conserve land as well as provide standard accommodation and office spaces, developers have taken to building vertically in order to maximize space. Imagine having a having a land size of 8,000SQM and being able to put up at least 6 high rise buildings of 30 floors each rather than 2 or 3 massive horizontal structures. High rise buildings have the capacity and potential to solve this problem and there is almost no limit to how high your structure can go provided the structural design is of standard quality in order to withstand the test of time. Though this can be highly capital intensive, it can be achieved through partnerships, pooled equity, and loans.
- Unobstructed scenic Views & More Natural Light & Air: Going vertical, one gets to be blessed with a bird’s eye view of the surrounding areas. There is this feeling of ‘’I can conquer the world that comes with being in a high rise building’’; literally. High rise buildings also give the opportunity to indulge in the panoramic floor-to-ceiling window concept which in turn allows the flow of natural light and air compared to horizontal buildings.
- Marvelous Architectural Designs: There is a certain beauty attached to high rise buildings especially when they come in unique architectural designs. Have you ever driven past a high rise building for the first time and not crane your neck through the car window to stare at its height, its designs and its overall beauty. There exist limitless design ideas when it comes to designing high rise buildings. Take the Burj Al Arab in Dubai and Spire London for instance.
- Mixed Use Advantage: It is highly convenient and common for high rise buildings to be utilized for mixed purposes viz residential, commercial, leisure/ hospitality etc. In a way, this can be seen as a mini city with a sense of community and the larger community around it with street traffic to drive patronage.
In Nigeria today, we are witnessing a surge in the number of high rise buildings springing up all over major cities. In Lagos alone, there are newcomers to the city’s skyline like Nestoil Towers, Intercontinental Hotels, Eko Pearl Towers, 4 Bourdillon road, Eden Heights and Civic Towers as well as the new World Trade Centre in Abuja.
It may seem like a daunting task when one thinks about investing and developing high rise buildings but with the right financial strategy, it is possible to have a slice of the high rise pie.