Infrastructure boom lifts land values in Lagos' Ibeju-Lekki-Epe corridor by 35%
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The 2026 Nigeria Real Estate Report by Ubosi Eleh and Company says land along the Ibeju-Lekki-Epe axis appreciated about 35 per cent year-on-year as ports, a refinery, a free trade zone and the Lagos-Calabar Coastal Highway reprice the corridor.
Land values along Lagos' Ibeju-Lekki-Epe axis have risen by about 35 per cent year-on-year, driven by major infrastructure and industrial investments that are transforming one of the city's emerging real estate growth corridors.
According to the 2026 Nigeria Real Estate Report by Ubosi Eleh and Company, plots that sold for about N15 million in 2024 now command N25 million or more. The report attributes the repricing to the concentration of large projects in the area, including the Lekki Deep Seaport, the Dangote Refinery, the Lekki Free Trade Zone and the Lagos-Calabar Coastal Highway, which it says are creating sustained demand for residential, commercial and industrial land.
The coastal highway has accelerated the transformation of the corridor. Its first 47-kilometre section runs from Ahmadu Bello Way in Eko Atlantic to Eleko Village, and the Federal Government temporarily opened 30 kilometres of that stretch to traffic in December 2025, with the full section targeted for completion this year. Ubosi Eleh reported that land within five kilometres of the highway appreciated by between 25 and 40 per cent between the first quarters of 2025 and 2026, while commercial land around some interchange locations recorded increases of more than 100 per cent.
The report also found that commercial plots around the refinery complex appreciated by roughly 25 per cent annually, that Ajah recorded a 45 per cent increase in transaction volume in the 12 months to the fourth quarter of 2025, and that developed properties there generated gross rental yields of between six and nine per cent. It cited Victoria Garden City as an example of the longer-term effect of infrastructure-led development, noting that land values in the estate have risen by about 150 per cent since 2019 following improved road connectivity.
Beyond the eastern corridor, the report recorded continuing changes in capital and rental values in Lekki Phase 1, Oniru, Ikeja GRA, Yaba, Surulere, Ikoyi, Victoria Island, Banana Island and Eko Atlantic. It said gross rental yields in Yaba and Lekki averaged between six and eight per cent in 2025, while selected Mainland locations including Maryland, Gbagada and Yaba delivered yields of seven to nine per cent for appropriately priced properties. A two-bedroom terrace with a boys' quarter in Lekki Phase 1 that sold for between N45 million and N50 million in 2022 was reportedly commanding about N94 million in 2025.
At the prime end, apartments in Ikoyi start from about N800 million and can exceed N3 billion for premium new developments, while Victoria Island apartments range from roughly N250 million to N900 million. Banana Island recorded gross rental yields of about three to five per cent, Ikoyi four to six per cent and Victoria Island about five to eight per cent, according to the report, which added that residential rents in prime Island locations rose by an average of 45 per cent between 2024 and 2025 with vacancy for well-specified properties below five per cent.
The Principal Partner of Ubosi Eleh and Company, Chudi Ubosi, described the Ibeju-Lekki and Epe corridor as a medium- to long-term investment opportunity whose pace of appreciation would depend on infrastructure delivery, planning, title security and development quality. He said property decisions should be guided by evidence rather than speculation, identifying poor documentation, weak regulation and limited access to reliable data as continuing challenges. The firm projected at least a 10 per cent increase in capital and rental values in 2026, citing constrained premium supply and sustained demand from corporate tenants and professionals.