30 — Vanguard, TUESDAY, JUNE 26, 2012
London Olympics: No quick returns on property for landlords BY JUDE NJOKU (with agency reports)
Cement Dangote cement per bag of 50kg ---N1,800.00 Burham Cement per bag of 50kg ---N1,800.00 Elephant cement per bag of 50kg ---N1,800.00 Sandcrete Blocks 6 inches vibrated per block--N130 9 inches vibrated per block--N150 6 inches hand mould per block---N80 9 inches hand mould per block---N90
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ith barely one month to the summer Olympic Games slated to hold in London, reports indicate that landlords hoping to make quick returns by letting out their properties to Olympics visitors at inflated rents could be in for a nasty surprise. Agency Reports quote estate agents as warning that the 2012 games rental market is being flooded and that a huge number of properties remain unlet. Expectations were high that with millions of visitors expected to London during the summer period, short term rental accommodation and holiday lettings would be in strong demand. To meet this demand, projections were that London will have approximately 100,000 hotel rooms as well as university and college halls of residences and other student accommodation, but the majority of visitors to the Games may opt for private, short term rentals, not only in Stratford, but across London and Surrey. But reports filtering in from the host city indicate that such projections might have been inflated. For instance, when London was announced as the host city in 2005, the London Organising Committee of the Olympic and Paralympic Games LOCOG secured 600,000 room nights with hotels and apartments and locked them into contracts, a move that was later regretted by many. In January this year, LOCOG announced that they were releasing 20 percent of this inventory, some 120,000 rooms, back onto the market, perhaps having grossly miscalculated their likely requirements in the first place. Messrs Foxtons, the letting agent in charge of North London told a British tabloid, the Observer, that “We physically can’t get out to see all these properties because of the number of enquiries coming through from potential landlords,” Fewer than 10 of the 500 properties Foxtons was offering at a premium rent during the games in the Islington, Clerkenwell and Shoreditch area had been let, he said, adding: “Absolutely do not kick out your tenants for the Olympics.” Keatons, another major games lettings agent, said it was no longer actively marketing individual properties, but was instead registering potential landlords as “interested parties” and contacting them
Building materials watch
Sand Soft per tipper load ---N13,000 Sharp double tipper load--N23,000 Gravel double tipper load--N25,000 Gravel single tipper load--N18,000 Granite per tipper load---N120,000 Reinforcement 8 mm (153) pieces per ton --N125,000 10 mm (153) pieces per ton--N136,000 12 mm (93) pieces per ton--N161,000 16 mm (93) pieces per ton--N172,000 20 mm (53) pieces per ton--N122,000
•Luxury apartments for let to visitors during Olympics if there was demand from corporate clients for a cluster of properties. “I have closed my books in this office at 40 properties because I have an example of just about every property I need,” the Keatons agent responsible for Olympics lets in Hackney said. “I am not at all confident of renting what I have. Supply is way outstripping demand.” “Most landlords need four weeks plus to make it work,” the agent said. “But 99 per-
cent of bookings have been corporate, mainly mediabased, and most just want to come and go for three weeks. They want the cheapest price possible for the exact period they need.” “Short-term lets, especially when involving ‘temporary’ landlords and not seasoned investors, is complex and labourintensive. Our Olympic shortlet operation provides extra services so our commission structure does reflect this.” Rents being asked for an Ol-
ympics let are typically five or six times the going rate. A onebedroom flat in Tufnell Park is being offered by Keatons at £3,000 per week, while Foxtons is marketing a modest two-bedroom terraced house in Stratford for £4,000 per week. There are also risks once the games are over: “After the Olympics there will be so many properties available, it might take a long time to find replacement tenants and rents might go down.”
Air Force tasked to complete ongoing estates ...200 housing units inaugurated BY KINGSLEY OMONOBI
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gainst the backdrop of the security challenges plaguing the nation and the need to provide conducive accommodation for military personnel who are in the forefront of tackling the challenges, the Ministry of Defence has directed the Nigeria Airforce to embark on the completion of construction works on all abandoned MOD housing projects in NAF Barracks across the country. Chief of Air Staff, Air Marshal Mohammed Dikko Umar gave the directive while commissioning the ‘NAF Unity Estate’ at Kuje, Abuja. He noted that the directive was borne out of the need to adequately cater for the officers and men as well as their families to enable them give 100 percent to the task of securing the nation. He however pointed out
that the construction and completion of the abandoned housing projects would depend largely on the availability of resources especially when present day realities are put in place. Air Marshal Umar who used the occasion to inaugurate the 200 units of 2-bedroom and 3bedroom houses constructed by the NAF Post Housing Development Ltd in partnership with Hydraform at the NAF Unity Estate, described the houses as a fulfillment of the promise the Air Force made at different fora to their personnel relating to provision of post service houses. He said the provision of decent and affordable accommodation for both serving and retired NAF personnel would remain cardinal in NAF resolve to improve on personnel welfare. “This is so because of our
firm believe that owning ones abode must not be seen as a luxury or privilege but a fundamental right of all Air Force Personnel,” he said. Umar disclosed “that another 110 hectares of land have been purchased at Lugbe Extension ‘to ensure that a good number of our personnel are catered for, bearing in mind that this estate is relatively small’. “We are also hopeful that in no distant future, Nigeria Air Force Post- Service Housing Development Company Limited NAFPHD would exploit the possibility of building qualitative affordable houses for our personnel wherever they may wish to reside in the future”. Managing Director, NAF Post Service Housing Development, Air Vice Marshal Moses Akinsanmi disclosed the the unity Estate is sitting on 9.8 hectares of land.
Woods Timber (hard) 1x1x12--N1,000 Timber (hard) 2x2x12---N800 Timber (hard) 2x4x12---N700 Softwood 2x2x12---N260 2x3x12---N300 Plywood 3x3x8---N3,500 2x4x8---N2,400 Roofing Sheets Corrugated iron sheets per bundle---N10,000 Asbestos (Super) 4x8 per piece--N1,600 Asbestos (Solo) 4x6 per piece--N1,500 Wall tiles (ceramic) 6 x 6 per square metre-------------------------------------N1,200 20 x 20 (China) per square metre-------------------------N1,100 20 x 25 (China) per square metre-------------------------N1,400 Floor tiles (ceramic) 14 x 14 (Spain) per square metre-------------------------N1,800 14 x 14 (Brazil) per square metre------------------------N1,420 13 x 13 (Spain) per square metre------------------------N1, 550 45 x 45 (Spain) per square metre------------------------N1,900 40 x 40 (Marble Spain) per square metre--------------N3,800 30 x 30 (Marble Spain) per square metre--------------N2,000 Plumbing Materials Galvanised conduit pipes per length 20 mm diameter -----------------------------------------N170 25 mm diameter------------------------------------------N170 PVC conduit pipes 20 mm diameter per length ----------------------------N120 25 mm diameter per length-----------------------------N130 Source-----------Cement tiles and building materials market along Lagos/Abeokuta Expressway.