FG Moves to Develop Building Materials Hub on 200 Hectares in Lekki Free Trade Zone
The Federal Government has acquired 200 hectares of land within the Lekki Free Trade Zone to establish a dedicated Building Materials Hub, aiming to reduce construction costs, promote local manufacturing, and accelerate affordable housing delivery across Nigeria. This initiative marks the first of several planned hubs under President Tinubu’s Renewed Hope Agenda.
A Strategic Move for Housing Affordability
During an inspection tour of the Lekki and Lagos Free Trade Zones, Minister of Housing and Urban Development, Arch. Ahmed Musa Dangiwa, confirmed that the selected site will serve as the pilot hub. The hub is designed to enhance local content, reduce dependence on construction imports, and ensure sustainable housing outcomes nationwide. Dangiwa noted that investors have already committed to the project, which will generate employment, save foreign exchange, and expand the domestic building-materials industry.
The site’s placement within the Lekki Free Trade Zone positions the hub for efficient operations. The zone offers key infrastructure assets, including proximity to the Lekki Deep Sea Port, integrated road networks, potential airport access, and a growing industrial ecosystem a value proposition for logistics and distribution.
Mr Adeniyi Akinlusi, Managing Director of Lekki Worldwide Investments Ltd, was commended by Dangiwa for providing strategic support and a suitable site for the hub.
Replicable Model Across the Six Geopolitical Zones
The minister revealed plans to replicate the hub model in each of Nigeria’s six geopolitical zones. Each hub will focus on producing essential construction materials such as tiles, roofing sheets, ceilings, and doors, backed by industrial infrastructure and investor-managed operations.
Hubs are expected to offer incentives such as duty exemptions and infrastructure support to investors and developers operating within free trade zones.
Implications for Stakeholders
Developers & Investors: Access to locally produced materials could lower project cost structures and expand margins while supporting faster delivery.
Policy Analysts: If implemented effectively, this could set a precedent for growth-oriented, regionally distributed manufacturing capacity linked to housing policy.
Finance & Industry: Reducing reliance on imports for materials may improve foreign exchange stability and encourage industrial localisation within the built environment.
Outlook
The Lekki hub initiative offers a pragmatic pathway to addressing Nigeria’s housing deficit through domestic capacity building and supply-chain optimisation. Its success hinges on execution and investor confidence but the model is promising.
For stakeholders across the housing ecosystem, this represents a pilot with potentially transformative impact. What remains critical is monitoring how quickly other zones adopt the model, and whether local production scales effectively to meet demand and contribute to housing affordability.