A former Chairman of Lagos Branch of Nigeria Institute of Town Planners (NITP),Mr Makinde Ogunleye,  has attributed the poor growth of local property industry to inadequate funding.
Ogunleye made the observation while speaking with newsmen in Lagos last Monday.
He said that building and construction were capital intensive and required large sums of money to accomplish.
Ogunleye said that the amount of required capital needed for growth and sustenance of the industry was not available locally, stressing that there was no viable sources through which operators could source funds.
According to him, there is need for government to boost financial capacity of the property operators to enable the industry to grow and enhance its contribution to Gross Domestic Product (GDP).
Ogunleye stressed the need for the establishment of a Construction Development Bank to serve as a source of finance to operators in the property industry.
He said the bank would serve as a bank of last resort and would help developers to finance long-term housing projects.
“Since it has become obvious that the government alone cannot provide the needed houses for the country, it therefore becomes paramount for private operators to fashion out strategies to grow the industry,” he said.
Ogunleye urged operators in the building construction industry to plan toward setting up a Construction Development Bank.
He said that it was not reasonable to use short-term loans to finance long-term projects as the developer would be short-changed in the process since and would not be able to recoup his funds on time.
“This is why we are canvassing for the establishment of the bank because it will provide much relief in terms of funding to the sector,” he said.