A property consultant, Mr Chima Ogbuehi, on Monday said that property market would improve significantly in 2011 following the efforts being put in place by the stakeholders.

He told newsmen on Monday that World Bank statistics showed that there would be a steady and stable increase in the Nigerian economy.

Ogbuehi, Managing Partner, F & L Integrated Service, a property consulting firm, said “This in turn will have a positive effect on the property market transaction.”

“We witnessed a steady increase in property development in 2010, but low transactions due to low cash circulation. Indications in 2011 show a steady increase in the property transaction,” he said.

Ogbuehi said that already lease terms were gradually changing to suit prospective tenant’s budgets, particularly on the Victoria Island and Lekki area.

“Landlords and property companies are gradually yielding to the demands of prospective tenants to reduce lease price and year.

“Before the end of 2011, houses might be leased for as low as 6 months, as it is being practised abroad. This will make the market more viable and accessible,” he said.

Ogbuehi cited as example, the price variation in the property market with 1004 Housing Estate in Victoria Island, which he said, was sold to UAC Property.

“Because of low cash flow in 2011 and prospective tenants demand for change, a three-bedroom apartment in 1004 Estate leased for N3 million in 2010 now attracts N2.5 million.

“Also, a three-bedroom flat sold for N45 million in 2010 is now being sold for N40 million while some private owners now agreed to one-year lease term,” he said.

According to him, if the new trend continues, it will improve the nation’s economy.