Awareness and Perception of The Impact of Sustainability Features on Commercial Property Valuations in Lagos, Nigeria
DOI:
https://doi.org/10.11113/intrest.v19n2.424Keywords:
Sustainability Features, Property valuation, Perception, Commercial propertyAbstract
Sustainable development is that which satisfies current needs without jeopardizing the capacity of unborn generations to satisfy their own. it is pertinent to emphasise the need for more awareness of sustainability in property valuation, as poor knowledge can lead to issues such as possible undervaluation of property. Also, valuers should understand the need to incorporate the relevant sustainability features into valuation exercise as accurate property valuation is essential for encouraging investment decision. It is on this note that this study examined the Awareness and Perception of The Impact of Sustainability Features on Commercial Property Valuations in Lagos, Nigeria with a view to identify sustainability features relevant to property valuation in the study area. Primary data was collected with the aid of a structured questionnaire administered on One Hundred and Ninety-Three (193) Estate Surveying and Valuation Firms in Lagos Island with a total of 152 questionnaires retrieved, yielding a 79% response rate. The data collected were analysed using descriptive research designs, specifically weighted mean score and factor analysis. The analysis of the weighted mean score ranked wind turbines highest in awareness followed by greywater recycling, this could be linked to the presence of alternative energy solution and the need for water conservation in Nigeria. The study further grouped the sustainable features into seven (7) components for easy understanding which are - energy efficiency & renewable energy systems; water efficiency & sustainable water management; indoor environmental quality & comfort; green & sustainable building materials; smart & automated building systems; safety & accessibility; and sustainable urban & site planning. The study therefore recommends increase in awareness of sustainable features in the construction industry. Finally, incorporating sustainability concerns into property valuation theory and practice will play a major role in the accomplishment of more sustainable development in the real estate and building industries.
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