If you’re wondering why property values in areas like Surulere have been steadily rising, there’s more going on than meets the eye.
Indeed, there’s the textbook explanation (things like location, timing, market trends, and quality of construction).
But the real reason often comes down to a mix of high demand, limited housing supply, and property owners or agents taking full advantage of the situation.
In this article, we’ll break down six key factors that are driving up property prices in Surulere this year.
With this insight, you’ll be able to make a more informed decision, whether you’re looking to invest or move into this part of Lagos.
Key Takeaways From This Article
- Neighborhood is the leading factor determining values of properties in Surulere.
- However, factors that actually drive cost are inflation, increased demands, rise of gated estates, and stable rental returns
- High ROI properties in surulere worth investing in this year include apartments, lands, duplexes, semi-detached houses.
- If you’re planning to buy now, don’t wait too long.
- RentHouseSurulere is the best plug for finding buyers or sellers of properties in Surulere.
A data analysis from The Africanvestor platform conducted last year ranked Surulere as one of the places in Lagos that will experience a surge in property values.
According to the report, it will be due to investment in local infrastructure, such as road expansions and renovation of public spaces.
The report is close to the reality we are living now.
6 Factors Driving The Values of Properties in Surulere
Here are the factors that are determining the value and cost of properties this year.
1. Neighborhood
The exact part of Surulere where a property is located has a huge impact on its price.
Surulere is a mix of high-end, middle-class, and budget-friendly neighborhoods, so property prices vary widely.
Bode Thomas and Adeniran Ogunsanya have better infrastructure and security.
Itire and Lawanson are more residential but can be crowded and noisy.
Ojuelegba is central but can be rowdy due to traffic and commercial activities.
For example:
- A 4-bedroom duplex in Bode Thomas or Adeniran Ogunsanya (which are prime areas with good roads, modern amenities, and easy access to businesses) could cost N300 million or more.
- Meanwhile, a similar 4-bedroom duplex in Itire or Aguda, where roads may not be as developed and commercial activity is lower, might cost N100-N150 million.
Even within the same area, properties on major roads (good for businesses) often cost more than those on residential streets.
The Lagos State Government has focused heavily on improving roads across Surulere. Major roads like Babs Animashaun, Akerele, Ogunlana Drive, and Randle Avenue have been resurfaced or expanded.
There’s also better drainage and traffic control around Stadium Road, Ojuelegba, and Lawanson.
Good roads reduce traffic, flooding, and wear-and-tear on cars.
That makes living or running a business in Surulere more attractive, which increases demand. And with more demand, prices go up.
2. Proximity to Lagos Mainland’s Central Hubs
Surulere sits in a strategic location on the Lagos Mainland.
It connects directly to Yaba, Mushin, Ikeja, Apapa, and Victoria Island via bridges and expressways like Eko Bridge and Western Avenue.
Its central location means people working in different parts of Lagos often choose to live in Surulere.
It’s close to schools, banks, stadiums, and shopping malls. Investors love this because renters and buyers are always available, keeping prices high.
3. Increased Demand for Shortlets and Student Housing
Landlords and investors are converting apartments into shortlets or student hostels because of high turnover and better monthly returns.
This demand pushes up the value of properties, especially 2-bedroom flats and mini-flats.
Thanks to the presence of schools like Yaba College of Technology, UNILAG (nearby), Federal College of Education (Technical), and several tutorial centers around Surulere.
4. Gentrification and New Estates
Older buildings are being pulled down and replaced with modern terraces, duplexes, and serviced apartments, especially in Aguda, Bode Thomas, and Adeniran Ogunsanya.
Developers are also building gated estates with better infrastructure.
As Surulere becomes more modern and stylish, more middle-class and upper-middle-class people are moving in.
That raises demand and encourages even more luxury development, driving prices higher.
5. Inflation and the Rising Cost of Construction Materials
Nigeria’s inflation rate has remained high in recent years, especially in 2024 and 2025. This affects:
- Cement, blocks, iron rods
- Labor costs (masons, electricians, plumbers)
- Finishing materials like tiles, doors, plumbing fittings, and paint
- Cost of land registration and legal documents
Because it costs more to build, renovate, or develop a house in Surulere, property owners are raising sale and rental prices to recover those costs.
This especially affects newly developed duplexes and flats, properties that were recently renovated, and rent for homes with quality finishing.
Even older buildings become more expensive because buyers can’t afford to build from scratch, so they turn to existing homes.
That itself raises demand and drives up prices.
6. Stable Rental Returns
When investors know they can earn consistent rental income in an area, they rush to buy properties there. That increased demand leads to higher property prices.
Unlike far-off estates where houses stay empty, properties in Surulere rarely stay unoccupied for long. Tenants come quickly.
Let’s say you buy a 2-bedroom flat in Aguda for ₦40 million.
You can rent that flat out for ₦1.8 to ₦2.5 million per year, depending on the finishing, security, and location.
That’s around 5%–7.5% annual ROI, which is good for real estate in Nigeria.
If you do shortlet rentals and make ₦25,000 per night (worst case scenario), even with just 15 nights booked monthly, you can make over ₦4.5 million per year, giving you a higher ROI closer to 10%–12%.
Meanwhile, if a building is generating ₦3 million yearly in rent, a seller can confidently list it for ₦50–60 million because:
- Buyers will calculate how much they’ll make yearly
- If ROI still looks decent (5–7%), they will buy it
So even though inflation is hitting people, investors still buy, because the income potential is solid.
High ROI Properties in Surulere
At RentHouseSurulere, we’re plugged into the community and know how to find those hidden gems. Some of the hot deals are on:
- Apartments/Flats – Includes self-contained units, mini-flats (1-bedroom), 2-bedroom, and 3-bedroom flats.
- Duplexes – Semi-detached and fully detached duplexes, often for families or high-end buyers.
- Bungalows – Single-story house.
- Detached houses – Standalone houses with private compounds.
- Semi-detached houses – Houses sharing a wall with another unit.
- Office spaces – For businesses, startups, and corporate offices.
- Shops and retail spaces – Shop units for trading, boutiques, supermarkets, and salons, especially around markets in Surulere.
- Bare land – Bought for future development or resale.
- Serviced plots – Land in gated estates with infrastructure like roads, drainage, and electricity.
If you’re planning to buy now, don’t wait too long.
The longer inflation stays high, the more expensive properties will become. This is not just because of demand, but because of the cost of replacement.
This makes early investment smarter, especially if you intend to renovate and resell or rent out.
Once you contact us on WhatsApp, with your specs and preference, you’ll be surprised at how fast we provide you with video, pictures, and price options based on your request – because we have them ready to go.
