A STUDY OF THE FACTORS INFLUENCING REAL ESTATE INVESTMENT GROWTH IN LAGOS, NIGERIA
Olowofeso, Edamisan
Department of Entrepreneurship, School of Management Technology
The Federal University of Technology, Akure, Nigeria
E-mail: eolowofeso@futa.edu.ng
ABSTRACT
Due to the immense contribution of real estate to economic development in Nigeria, This study investigates the factors influencing the real estate investment growth in Lagos, Nigeria. Primary data structured in 5- Likert scale were collected from real estate professionals practice in Lagos State. The data collected were analysed using SPSS 23.0 Fifteen variables were identified as factors that influence the growth of real estate practice, the variables were subjected to principal component analysis (PCA) with varimax rotation. Keiser-Meyer-Olkin’s (KMO) measure of sampling adequacy and Bartlett’s Test of Sphericity were employed to test the factorability of the data. The KMO obtained for the study was 0.734 and significant at the level of 0.000. Bartlett’s test showed an approximate Chi-Square of 1538.303 with 105 degrees of freedom that significant at p = 000. The cumulative percentage of the variance showed that the three factors account for about 67% of the total variance. The analysis shows that variables with the highest loading factors for each of the extracted constraint factors. For instance, innovation loads with 83.7% on factor 1; length of operation loads with 97.3% on factor 2; and education background of the respondents’ loads with 74.8% on factors 3 were the most significant factors that can influence the growth of real estate practice in the study area.
Keywords: Determinant, Real Estate Investment, Growth, Lagos, Nigeria
