The Impact of Social Unrest on Property Values in Kano Metropolis, Nigeria

Abstract

Kano is one of the oldest settlements in Nigeria. Its growth in the past had been based on the utilisation of its natural resources and, in modern times, it still maintains its high population due to impressive infrastructural facilities, and the sustained stable market it provides for both manufactured and semi-processed goods. But, the recent upsurge in the threat of Boko Haram in the Northern part of the country has had a major impact on the economy of Kano metropolis. The aim of this paper is to determine the effects of this crisis on the rental and market value of properties when compared to previous years. In attaining this aim, questionnaires were administered to all the estate surveying and valuation firms which are about 35 in number. Out of the 35 questionnaires that were distributed, only 27 were retrieved. Interviews were also conducted with 107 property owners. These property owners were randomly selected from the various estate firms’ management portfolio. It was found out that the rental value of properties had fallen due to mass movement of people from this region to other safe areas. It was also established by these property owners that most of the properties affected are residential and are in areas like Ring road, Hotoro, Tokarawa, Naibawa, Selleri quarters, Gwarzo road, Farm centre, Sharada, Unguwar Uku. Presently, the indications are that properties are losing their values in Kano State. It is recommended that government should beef–up security in this area so as to give property owners the confidence to remain and continue to invest in property development.