Advancing Property Investment Returns through Improved Urban Neighbourhood Infrastructure Conditions in Jos City
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Date
2021-11-23
Journal Title
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Publisher
Faculties of Engineering and Environmental Sciences, Osun State University, Osogbo, Osun State, Nigeria
Abstract
Infrastructure is one of the substantial indicators of neighbourhood and urban quality; it
possesses the capability to draw and sustain returns on property investment. This study focuses
on the urban neighbourhood infrastructure conditions as a pointer to ideal residential property
investment returns in Jos city, Nigeria. The study adopted a survey research design using
structured questionnaires to gather the required data. The data required are property transaction
data on rental value and capital value of residential properties and the conditions of basic
infrastructure in the selected neighbourhoods of Jos city. These data were sourced from
practicing Estate Surveyors and Valuers practicing in Jos as well as the residents of the selected
neighbourhoods. The estimated sampled size was 251 and only 161 questionnaires were
recovered. The data collected were analysed using descriptive and inferential statistics. They are
mean score, standard deviation, coefficients of variation and Spearman’s Rank Order Correlation
model. The results of the analysis revealed that residential property investment performed better
in Gwang layout and Lowcosts than Rayfield and Kufong areas on the basis of risk-return. The
risk-return ratios range between 8% and 38%. Rayfield and Kufong residential market showed
high level market volatility indicating the risky nature of these property submarkets.
Infrastructure condition indices in Rayfield and Kufong is higher than ideal condition index
(Benchmark), ranging between 72%-89% and 81%-94%. Few urban neighbourhood
infrastructure conditions in Gwang Layout and Lowcosts are found to be below the benchmark.
The study concluded that infrastructure has a strong influence on residential property investment
returns in the study areas. It therefore, recommended that infrastructure condition should be
given special attention when forming opinion on residential property investment.
Description
Keywords
Residential, Returns, Property investment, Neighbourhood, Infrastructure