Lagos re-energises Ikeja Central Business District with $100m City Mall

Ikeja Central Business District came alive last week with the inauguration of a massive $100million City Mall to redistribute traffic away from the Lekki mall and uplift Ikeja environs. The new shopping and leisure edifice was developed by a leading equity investor, Actis alongside its project partners, Paragon Holdings and RMB Investments and Advisory. Located at the Alausa Secretariat of the Lagos State Government on Obafemi Awolowo Way, the construction of the mall commenced two year ago, and was completed just last week. It sits on 27,000 square metre built area, encompasses 23,000 square meters of lettable area and space that can accommodate 100 shops including Shoprite’s latest generation store of over 4,400 square metres, KFC, Mr Price, Twice as Nice, Nike and Aldo. The design of the mall incorporates informal meeting places, a food hall and a five screen Silverbird cinema.

The shopping facility is bound by access roads on three sides while five hectare site is ideally positioned for convenient parking and shopping. The project architects are MDS and James Culitt Architects; development managers include Messrs West Port; while Messrs L & S and KOA are the engineers. Its equity partners are Paragon Holdings and RMBIA. Impressed by the construction of the modern mall, the Lagos State Governor, Mr. Babatunde Raji Fashola, said the new facility, which is stocked with locally sourced materials, represents an empowering of small businesses through a retail revolution. He also expressed hope that Actis has not finished in Lagos as Alimosho, Ikorodu, Badagry with the sufficiency of markets driven by population to justify are areas where similar projects are needed. Justifying the provision of the new mall, the governor said “First, it was our desire to use it to redistribute traffic away from the Lekki mall and in that way re-energise the Ikeja Central Business District and its environs as a stand-alone and selfsufficient business districts for almost four million residents, that will ultimately reduce the uni-directional traffic we see on a daily basis between the Mainland and the Island”. According to him, the numbers of new small businesses that are opening or expanding their outlets are the measures of real growth in any economy, adding that the mall represents a positive sign for the economy.

He said, “It speaks of an increasing demand for outlet spaces for small businesses like eateries, salons, grocery shops, cell phone and IT outlet stores, jewelers, ice cream, popcorn and entertainment outlets like cinemas which are the things we will see in this mall of 94 outlets. “The possibilities are seemingly endless. Investment and opportunities have converged; prosperity is imminent and a brighter and rewarding future is assured”. The governor affirmed that the state government has played its role as a catalyser of development, stating that the approvals and resettlement of the existing users led to the commencement of construction on the site in January 2010 which has culminated in the commissioning during which 1000 people were employed. Speaking at the event, Chief Executive (Head) Actis West Africa, Mrs. Ngozi Edozien, stated the coming of the mall would help to develop Lagos and the country as a whole. She pointed out that the construction of the project which is in partnership with the government, local visionary, international and local banker would bring employment and infrastructure development in Lagos. She reminded the audience that her firm built the Palm in Lekki, noting that the project created employment for many Nigerians, saying the same is expected of Ikeja City Mall.

She said, “We want to see significant numbers of retail market revolution here. Ikeja City Mall seals Actis’s reputation as the West African investor of choice: our local team in Lagos has unrivalled access to investment opportunities in real estate, financial services, industrials and consumer businesses, and a network that reaches across the region.” Director, Real Estate, Actis West Africa, Mr. Michael Chu’di Ejekam, said with the construction of Ikeja City Mall, some of the mistakes made in the construction of The Palms in Lekki have been corrected. He disclosed that the construction of the mall costs $100m, adding that the company provided the 50 percent equity while StabicIBTC Bank Plc provided the 50 per cent debt financing. According to him, Actis played the lead role in the conception and realisation of the Ikeja City Mall project, saying the company is the majority six shareholders in Gruppo with 60 per cent, the company established to own and manage the mall, while Paragon Holdings and RMBIA each hold 20 per cent respectively. He said: “Actis is proud to unveil Ikeja City Mall. This is a project that demonstrates Actis’s proven track record of delivering quality real estate for Nigeria. Ikeja City Mall opens up a space for Nigerians to work and relax and follow in the footsteps of Actis’s successful development of The Palms.”

 

DAYO AYEYEMI  via National Mirror

Plaza of comfort, work

Victoria Island is fast confirming her place in real estate development, in terms of style and innovation. It provides the best of residential and office spaces to a sophisticated class. The Victoria Mall Plaza 2 (VMP2) on Bishop Aboyade Cole Street contributes to the rich portfolio of real estate development in the area. The plaza combines space and comfort. It is promoted by UACN Property Development Company Plc (UPDC) on a five- year lease agreement with KPMG.

Victoria Mall Plaza 2 is a premium office space sitting on a land area of almost 3,000 square metres. It comprises 15 floors with a gross floor area of about 16,000 square metres and lettable space of about 7,500 square metres, in the upscale Bishop Aboyade Cole Street in Victoria Island, Lagos.

UACN Property Development Company (UPDC), promoters of the edifice, has entered into a lease agreement with KPMG for five years and that 54 per cent of circulation and service space defines the premium the promoters of the plaza places on effective space distribution for their clientele.

Speaking at the inauguration of the building last week, the Managing Director of UPDC, Mr Hakeem Ogunniran, said the building not only re-affirms UPDC’s position in the sector, but also demonstrates a commitment to providing comfortable and modern office accommodation and development in the country.

He said: “In keeping with our mission of creating comfortable living and work environment for our customers, we set out to develop this contemporary office complex in September 2009 with planned project duration of 24 months. Gladly, we achieved the projected completion schedule within budget.”

On the infrastructure provision, he said: “The building comes with a designed load of 1665KVA, however, two numbers 1000 KVA caterpillar sound proofed generator with a total load output of over 2150KW. It is important to also note that this capacity is expandable as there are infrastructure to accommodate additional load requirements of our tenants.” Others are a water treatment plant with a capacity for producing 10 cubic metres of water per hour, a sewage treatment plant with capacity for processing 42 cubic metres of solid and liquid wastes per day, PABX , card key and access control system, close circuit cameras for enhanced security, water sprinklers in addition to smoke detectors on all floors of the building.

He stressed that UPDC builds for sustainable value.

Underscoring the need for the curtain wall made from pastel green powder and green reflective glass, Ogunniran said it is indicative of the company’s resolve to ensure energy preservation in tandem with the company’s’ green’ initiative. However, he urged the government to reconstruct the road, noting that as good corporate citizens, the company has also fulfilled its obligation to the government and the society at large.

Chairman, UPDC, Mr Larry Ettah, said the VMP was conceived as a four-phase project comprising residences, offices, shopping mall, multi-level car and a nine-floor multi-level commercial car park. He revealed that when fully completed, the facility will be an integrated facility for work, play and activities similar to such found in major cities of the world. We are convinced that VMP will change not only the landscape of Victoria Island, but also that of Lagos in general, he said. Ettah observed that it was gratifying to note that his company has maintained less than one per cent void in all their properties. He also commended KPMG for the lease of the building for five years.

He urged the Lagos State Government to explore site and services scheme with them, envisaging that it would be mutually rewarding, especially in view of the mega city status of the state and the fact that UPDC has established itself as a reliable real estate developer of choice, providing best-in-class and comfortable commercial and residential properties for customers in selected product categories. The UPDC chairman also tasked the government on the construction or rehabilitation of the road where the VMP is situated in addition to other infrastructure provision.

Responding, the Commissioner for Commerce and Industry, Mrs. Olusola Oworu, said the state government will leverage on UPDC’s success of working within budget and adherence to time schedule to bridge the huge gap in the housing sector.

He commended the company for delivering on their promise as against some other developers who obtain land from the government on false pretence only to come back to ask for change of use, distorting planning regulations.

She disclosed that the government has embarked on several reforms in land administration in processing and turnaround time for building approvals and obtaining of titles. She assured that the administration is willing to do more, but only hamstrung by limited resources competing for multiple needs. She said the road remains top priority of the government, but had to delay a bit to allow UPDC to finish with its building construction because of the heavy movement of trucks to avoid the road being clumsy for its users.

The commissioner reiterated the government’s desire to partner with the private sector, especially those who are strategic to infrastructure development, more so when it has provided an enabling environment for them to thrive.

 

By OKWY IROEGBU via The Nation