LandWey Investment Limited, the largest residential development company in Nigeria, has released a review of the delivery timelines for its Urban Prime 2,000-unit Project, a world-class and ambitious housing scheme in Lagos poised to deliver 2,000 homes in 36 months.
A statement on Monday signed by the company’s managing director, Ms. Adeshola Bello, said the review became necessary following recent economic challenges posed by the COVID-19 pandemic, scarcity of skilled labour, price hikes, fluctuating FX and supply bottlenecks which have impacted negatively on its plans and projections thereby causing a delay in the delivery of the homes. The company further disclosed that against the initial proposed 36-month delivery period, the entire Urban Prime 2,000-unit Project will now be ready in 60 months.
“In late 2019, we embarked on the Urban Prime 2,000-unit Project. We provided timelines based on an evaluation of project requirements at the time, but the project suffered some setbacks – in particular, it began at the onset of the Covid-19 pandemic and EndSARS protests, bringing tidal waves of the good, the bad, and the ugly, impacting our plans and projections.
“The scarcity of skilled labour, price hikes, foreign exchange constraints and supply chain bottlenecks are among the challenges that we have faced. Not to mention the complex work of managing the multiple vendors required to complete a single unit. These factors have resulted in not just significant costs overrun and increased project costs but also setbacks in the pace of construction and consequential delays in the delivery of homes.
“We recognize that these delays may have caused our subscribers anxiety and disruption to their plans, and we regret all inconveniences caused,” the statement said.
The real estate company further disclosed that despite the challenges, it has successfully delivered 35% of the entire project with 40% in active progress.
“Our new optimized work plan will help us scale up delivery speed on both the ongoing 40% and the pending 25% units. This improved work plan is scheduled to start on the 1st of October 2022. It will help us achieve enhanced productivity through efficient supply lines and bulk orders, expanded labour force and extended on-site work schedules.
“The turnaround period for the entire Urban Prime 2,000-units Project is now extended to 60 months from the initial period. This, in effect, adds an additional 24 months to the initial 36 months proposed, with all units scheduled for delivery by the end of Q4 2024.
“Past delivery schedules will move forward by at least 12 months in most cases.
“Detailed and client-specific delivery schedules will be sent in due course. We are applying this enhanced work plan to our other projects as well and we are optimistic that we will see improvements in delivery speed across board,’ it added.
While appealing to its numerous subscribers over the anxiety and inconveniences the delay may have caused them, the company, however, noted that it has presented compensation plans to mitigate the conditions of its subscribers.
“To demonstrate good faith and our unrelenting commitment to delivering the project, we have at different times risen to the occasion to address complaints that have come in; and have continued to provide routine communications, compensation packages, and even refunds in deserving cases. These notwithstanding, our goal remains to deliver on the Urban Prime 2,000 units Project as initially promised but with adjusted timelines.
“We are aware that other developers in similar situations as ourselves have requested their subscribers to pay additional amounts to compensate for the increased project costs, but on our part, we remain committed to delivering the project at no extra cost to our subscribers.
“In spite of the upsides that our clients have in keeping their investment with us due to the amazing returns, we do not want to leave them without options. This is why we have presented compensation plans that can mitigate their current condition and avoid any misconceptions regarding our integrity or motives. We therefore implore any of our willing clients to use these provided options to address their concerns as we have learnt that other means prove counter-productive and mutually non-beneficial.
“We are a company built on values of integrity, hard-work and excellence. We are grateful to have been recognized for these values through multiple awards. The Urban Prime project specifically has won the prestigious International Award for Residential Development. Urban Prime was chosen from over 100 entries from over 50 countries and scrutinized by a judging committee made up of seasoned industry experts.
“We have also implemented Quality Management Systems in accordance with ISO 9001:2015 and are now ISO-certified. These are indicative of our commitment to excellence and determination to stand by our creed of integrity.
“In conclusion, as an organization that upholds best practices of empathy & fairness, we wish for all our clients to know that we remain open to exploring resolutions and options that are mutually beneficial to all parties,” the company concluded in the statement.