Ibeju Lekki, once a remote local government area in Lagos came to the limelight after it was chosen to be the site for the planned Lekki Free Trade zones by the Lagos government.
This came as good news to foreign and domestic investors as they can bypass alot of the bottlenecks in a free zone where there is minimal intervention from the government and tons of tax and operation incentives.
This has attracted local and international investments in Ibeju Lekki worth billions of dollars with the most popular one – The Dangote refinery.
This has anointed Ibeju Lekki as the new Lagos.
Alot of people are still oblivious to the massive investment opportunity that is Ibeju whilst individuals, Real Estate developers, foreign and local investors are acquiring massive amounts of real estate here.
These are 12 reasons why you should invest in the Ibeju Lekki axis:
1.) The Dangote Refinery
In 2013 Dangote announced that he would be building the world’s largest single-train refinery in Ibeju Lekki spanning 2,635ha.
Almost nearing completion in 2022, what started as a proposed $9b dollar investment in 2013 to be delivered in a few years has turned into an almost 10 year project with over $14bn-$15bn invested so far.
This may be due to supply chain issues, the global pandemic, overestimation of the technicality involved, poor project management, or other unforeseen circumstances.
But nobody said that completing the world’s largest single train refinery with a capacity of 650,000 barrels per day was going to be a mean feat.
The company has once again come to announce that they would be officially starting this year – December 2022.
One reason why I’m mostly poised to believe this new date is that; the current political administration seems to see Dangote Refinery as one of it’s major achievements with political heavy hittters frequenting the massive 2000ha investment regularly for inspection.
Emefiele, the governor of CBN has also anounced that when it is fully running; it would reduce the country’s dependence on forex by 40%, a net positive to the economy.
This administration would be eager to deliver and kick things off the ground before leaving office in 2023.
The Dangote refinery is a massive development in Ibeju Lekki and is already driving massive investment in and around the area – moreso when the refinery is completed and fully operational!
Also important to note is the fact that the Dangote refinery complex also has a fertilizer factory worth about $2.5billion, a petrochemical factory that will produce polyethylene and polypropylene, and gas pipline that would transport 3billion standard cubic metres of gas daily worth about $2.5billion.
Massive investments in this area that has already created an upward of 60,000 jobs and this number is projected to reach 180,000+.
The commercial and residential possiblities in this area is limitless! and it has not even started operating.
2.) The Lekki Freetrade zone:
The Lekki free trade zone, divided into four total zones will comprise residential, commercial and industrial divisions. Sprawling over 16,500 hectares, the very rapid development around Ibeju Lekki is as a result of the multi-billion dollar investments combined in these different free zones.
All The Four Lekki Free Zone Quadrants
People often refer soley to the Dangote refinery when talking about Ibeju Lekki as it is the largest investment there, but the Dangote Refinery – located at the South-East quadrant is one just of the four free zones in Ibeju Lekki.
The Lekki Free zone (LFZ) managed by the Lekki Free Zone Development Company (LFZDC) is located at the South-West quadrant and already has companies like the kellogs factory, Power Oil factory, Longrich Biomedical factory, dano milk factory, vehicle assembling plant amoung others. This Free zone is flanked by the $2billion Lekki deep sea port.
Lekki Free Zone Development Company (LFZDC) is a Joint Venture that comprises a consortium of Chinese Companies by the name China-Africa Lekki Investment Ltd as the majority shareholder (CALI), the Lagos State Government (LASG) and Lekki Worldwide Investments Limited (LWIL).
3.) The Lekki Deep Sea Port
16.5 metres deep with a capacity of 18,000 TEU (Twenty-foot Equivalent units) – it is going to be the largest Deep Sea Port in West Africa opening up access for export to West Africa and beyond; easing the enormous strain at Tin Can and Apapa ports.
Because it is located in a free zone, there will be minimal intervention from port authorities, no import duities, no strikes, quick processing times – this sea port will see massive volumes of imports and exports that will ease the strain on the Apapa port complex and make more sense for investors and businesses from an operation and economic standpoint.
A major reason why The Lekki free zones are fast attracting local and foreign investors is because of this deep sea port. The first phase would be ready by 1st quarter of 2023.
4.) Alaro City
Alarocity is another free zone in the North-west quadrant managed by Rendeavour, one of Africa’s largest developers.Rendeavour and Lagos State Government, through their subsidiary, North West Quadrant Development Company (NWQDC), conceived Alaro City as a 2,000-hectare, market-led project.
All the free zones are managed by various operators and what sets Alaro city apart from the other free zone managed by Lekki Free Zone Development Company (LFZDC) is that it is the only freezone along the Lekki-Epe corridor.
Also, per the master plan Alarocity seems more organized and the investors and partners involved are are not majorly Chinese but from a diverse background of Norwegian, American, British investors and partners.
Alaro city, the major residential section of the Lekki Free trade zone contains areas of mixed and commercial use and is home to exciting industrial, residential and infrastructural developments.
This free trade zone has tons of incentives that is attracting investments from all over the world with 50+ businesses already present and more coming by the day.
These are some of the specific incentives for companies and residents in Alaro City;
- Zero withholding tax on dividends.
- Zero corporate income tax on free zone income.
- Zero VATs on purchases made within the free zone.
- Zero custom duities on imports
- Exemption of Fx controls and de-dollarization policies.
These and more are reasons to invest in alarocity.
The city is conveniently situated along the Lekki-Epe Expressway for ease of transportation through Lagos-Epe-Ogun to the rest of the country.
The largest Deep-Sea Port in West Africa is currently under construction and located to the south of the city and a bridge links Alarocity to other Free zones namely Dangote Refinery, The Freezone by LFZDC.
An international airport over 2000 hectares is at planning stage and will be located adjacent to the Alaro city along the Lekki Epe expressway.