Purple Real Estate Assets Hit N100bn as Lekki Mixed-Use Development Nears Full Rollout

Sunday Ehigiator                                    

The Chief Executive Officer and Co-founder of Purple Group, Olaide Agboola, has disclosed that the company’s gross asset valuation across Nigeria has exceeded N100 billion, driven largely by its flagship mixed-use development in Lekki, Lagos.

Agboola, who spoke during a media tour of Purple Lekki, said the development was conceived as a lifestyle destination combining retail, entertainment, office spaces and serviced residences within a single ecosystem.

According to him, the retail and commercial component of the project spans 11,500 square metres, while the serviced residence section comprises 206 studio apartments managed under the Citadins brand by Singapore-based Ascott.

“Purple generally is into the business of lifestyle. What we’ve been able to do with Purple Lekki is to put together a mixed-use development which cuts across retail, commercial activities and serviced residences,” he said.

He explained the commercial and retail sections are already almost fully occupied, with major brands including Market Square, Genesis Cinemas, Skate City, iFitness and VFS Global operating within the facility.

“The retail and commercial aspect of the building is pretty much 99 per cent fully leased and operational,” Agboola stated.

He added that the project hosts visa application centres for several countries including South Africa, Canada, Saudi Arabia, China, the United Kingdom, Australia and the UAE, describing the development as “a confluence” of multiple lifestyle and commercial experiences.

Agboola revealed the serviced apartment component, expected to commence operations towards the end of the year, would significantly boost revenue generation for the company.

“In there, you’re going to have internationally managed branded serviced apartments by Ascott under the Citadins brand,” he said.

According to him, Purple controls 103 of the 206 units, valued at about N22 billion to N23 billion, while the retail component contributes another N45 billion to N47 billion in valuation.

“So the building itself, for the portion that Purple has control over, is about N77 billion in value,” he said.

The CEO noted that Purple has steadily reduced its debt exposure over the past two years, bringing borrowings to below 10 per cent of gross asset value, with plans to reduce it further to about seven per cent.

“We’ve gradually been able to bring down our borrowings down to circa just below 10 per cent, and we’re looking at taking that down to seven per cent within this month,” he said.

Speaking on the uniqueness of the development, Agboola said Purple Lekki represented a new model of mixed-use infrastructure in Nigeria.

“I don’t think anyone has actually done it in the context of retail, office, entertainment and then serviced apartments, then you now drop a visa application centre in the middle of all of those things,” he said.

He described the development as “the number one address in Lekki Phase 1,” adding that the company expects to unlock the full commercial potential of the project once the serviced residences become operational later this year.

Agboola also addressed concerns over security and emergency preparedness within the facility, disclosing that the company had invested heavily in safety upgrades over the past year.

“In the last 12 months, we spent close to about half a billion naira on safety upgrades within the building,” he said.

He said the measures include enhanced parking security systems, fire safety equipment, smoke detectors, fire hydrants and over 100 surveillance cameras installed across the complex.

“Safety is a continuous process. As you add more tenants and open up new spaces, you see new challenges, then you address them,” he added.

On the company’s broader strategy, Agboola said Purple is shifting focus from heavy development financing toward acquisition of stabilised assets, while also exploring a future listing on the Nigerian Exchange.

“Our ultimate goal is to continue reducing borrowings and eventually extinguish them over time,” he said.

He added that the Lekki development alone is already generating employment opportunities running into thousands through direct and indirect engagements across its retail, hospitality and entertainment ecosystem.

“We’re talking direct and indirect jobs in thousands that emanate from this building,” Agboola stated.