THE LAGOS – CALABAR – COASTAL HIGHWAY, ITS IMPACT ON URBANIZATION AND REAL ESTATE APPRECIATION OVER 100% DESPITE THE COUNTRY ECONOMIC SITUATION TODAY

By ESV Alex Igbori, MNIVS

Lagos, Nigeria, is a bustling metropolis known for its vibrant culture, economic opportunities and stunning coastal scenery. One of the latest developments shaping its landscape is the Lagos – Calabar coastal road project. This ambitious infrastructure endeavor not only promises to enhance connectivity but also presents a golden opportunity for real estate investment along its route.

The Lagos – Calabar coastal road is a 700km, 8-Lane highway linking Lagos to Calabar through 8 coastal states. Even with the current economic headwinds, it’s already reshaping urbanization patterns and land values because infrastructure changes “where people can live and do business”.

The Lagos coastal road project aims to create a scenic and efficient roadway along the city’s coastline, stretching from Victoria Island to eight different States. This strategic initiative holds immense promise for transforming transportation infrastructure in Lagos, easing traffic congestion, and enhancing accessibility to key areas.

BENEFITS OF THE COASTAL ROAD
1.​Improved connectivity: This road will provide smoother connectivity between vital economic hubs, residential areas, and leisure destinations, fostering greater mobility and convenience for residents and businesses alike.
2.​Tourism and Recreation: With picturesque views of the Atlantic Ocean, the coastal road will undoubtedly become a magnet for tourists and locals seeking leisure activities. From waterfront promenades to seaside cafes, the development along the route will create opportunities for entertainment and relaxation.
3.​Economic Growth: Infrastructure projects of this scale often stimulate economic growth in surrounding areas. As the coastal road takes shape, we can anticipate increased commercial activity, job opportunities and property appreciation along its corridor.

Hence, for savvy investors, the Lagos coastal road represents more than just a transportation project. It’s a gateway to lucrative real estate opportunities. Reasons are:
❖ Prime Locations: Properties along the coastal road will enjoy prime locations with proximity to both Urban amenities and natural beauty. Whether its residential apartments with ocean views or commercial spaces in bustling districts, these properties hold significant investment potential.
❖ Value Appreciation: As infrastructure projects progress, property values in surrounding areas tend to appreciate. Investing in real estate along the road offers the prospect of long-term capital appreciation, making it an attractive option for investors seeking growth.
❖ Rental Income: with increased connectivity and development, rental demand is likely to soar along the coastal corridor. Investing in rental properties could provide a steady stream of income, ensuring a favorable return on investment.
❖ Diversification: Real estate investment along the Lagos coastal road provides diversification opportunities for investors looking to expand their portfolio. By tapping into this emerging market, investors can spread their risk and capitalize on the city’s growth trajectory. Moreso, even with inflation and low purchasing power, capital is rotating into land as a hedge and for long-term gains.
It impact on urbanization cut across three (3) major area:
❖ To creates a new east-West development backbone: Lagos as a State has always grown North-South and Mainland – Island. This corridor opens up Victoria Island – Lekki and Epe all the way to Calabar. It unlocks underutilized coastal lands or say un-utilized coastal lands thereby shifting economic activities away from the overloaded and overcrowded Urban centers.
❖ To decongests and decentralizes Lagos: with faster access between Eko Atlantic, Victoria Island and Bluewater Okunde, developers are no longer forced to cram into VI/Ikoyi. New satellite towns, estates, FTZS, and logistics hubs are now viable along Lekki, Epe and beyond.
❖ To link economic zones: it connects Eko Atlantic, Dangote Refinery, Lekki Deep Sea Port, and other coastal economics. That turns the corridor into a trade, tourism, and industrial belt. Hence, projections estimate tourism revenue could grow 25% and enterprise value along the corridor could hit $1.4tn – $14tn over 50 years.
However, its turning “coastal villages” into “communter towns” and investment destinations.

Impacts on Topography and How its affect properties along the road
This is where location selection matters most. The road runs along the Atlantic Coast, so topography is a value driver and a risk.

Value drivers: Properties with direct sea views and proper elevation (Ocean frontage & elevated plots) are commanding the highest premiums. That’s part of why Bluewater Okunde jumped. High, dry lands near interchanges are also best for estates, hotels and commercial development.

Risk:
❖ Flooding & Wetlands: Unplanned urban expansion has fragmented wetlands and, in many cases, increased pressure on drainage and coastal system in many countries. However, there are already reports of blocked drainage and sand-filling causing flooding concerns.
❖ Coastal erosion & Climate risk: The road must be designed for future climate risks, not only present traffic needs. Low-lying, swampy areas without proper reclamation could lose value or become uninsurable.
❖ Displacement: Coastal communities face possible displacement and loss of livelihood if development isn’t planned with environmental safeguard.

The Lagos – Calabar coastal road is acting as a “more than a transport artery”
❖ Urbanization: It’s expanding Lagos eastward and linking 8 States into one economic corridor.
❖ Real Estate: We’re already seeing 500% appreciation in hot-spots like Bluewater Okunde because infrastructure creates certainty.
❖ Topography: The winners will be elevated, drained, ocean-facing plots. The losers will be low-lying areas without climates – resilient planning.

The key risk is if development outruns planning and environmental management. If that’s managed, the corridor becomes Nigeria’s next property superhighway.

The leveling nature of the Lagos – Calabar Coastal Road means large sections will be cut-and-fill across wetlands, lowlands, beaches, and erosion-prone coastlines to keep the road flat.

There are four (4) main topography problem we will look at:

1. Flooding & Poor Drainage: Blocking natural water channels.
2. Coastal erosion & Shoreline retreat: Cutting off natural buffers.
3. Soil instability/ Subsidence: Building on soft coastal soil.
4. Loss of Wetlands and habitat fragmentation: Affects water absorption.

Recommendation
Here are a few recommendations:

1. Engineering & Drainage Solutions: To deal with the flat road across low land we have to consider; Elevated road sections plus viaducts/Bridges; Culverts, Box drains & cross-drainage structures; Roadside swales and Retention Basins; Revetments & Seawalls with wave dissipaters etc.
2. Soil and Foundation Solutions: For the soft, sandy, marshy coastal topography, these should be consider; soil stabilization, sand drains and prefabricated vertical drains, pile foundation for structures and also controlled fill material.
3. Environmental and Topography Management Solution: To protect the natural slope and water systems Wetland compensation and reforestation should be looked into, that is, for every hectare of wetland destroyed, create/restore 2 hectares elsewhere, plant mangroves as natural flood buffers. Maintaining natural drainage corridors is another environmental and topography management solution that should not be overlook at every 1 – 2km for floodwater and wildlife green corridor should be preserve. Setbacks of about 30m – 100m should be enforceable; said nourishment and beach protection should be periodically maintained.
4. Urban Planning & Real Estate Recommendation: for prospective buyers, developers, and government along the road; topography due diligence should be carried out to prevent flood risk etc. Zoning enforcement should be encouraged by the government to separate residential, commercial and industrial property. Public – private drainage maintenance should be encouraged to avoid drains clogging after 2 rainy seasons. Installation of tide gauges and flood seasons for early warning systems.
5. Policy and Governance Solutions: Government should integrate coastal zoning management, environmental impact monitoring agencies and also make room for community inclusion.

Conclusion:
The road can’t fight topography, it has to work with it. Leveling the road is possible but only if we also elevate the drainage, strengthen the soil and protect the coast. If done right, the road unlocks land and drives 100% appreciation safety. If done wrong, the same road causes flooding, erosion and property devaluation within 5 – 10 years.

Alex, a registered Estate Surveyor and Valuer is the Head of Practice at Alexander Igbori Consulting, a leading firm of Estate Surveyors and Valuers.