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A STUDY ON THE TRENDS IN BUILDING COST IN NIGERIA

Format: MS WORD  |  Chapter: 1-5  |  Pages: 60  |  2696 Users found this project useful  |  Price NGN5,000

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A STUDY ON THE TRENDS IN BUILDING COST IN NIGERIA

 

CHAPTER ONE

1.0     INTRODUCTION

The dictionary definition of trends simply means “to move or extend in a specific direction” (Long Man Family Dictionary) also trends simply means “a general direction in which a situation is changing or developing” (Advance Learner’s Dictionary). Leaning on, this definition of “trends” thus the subject matter “trends in building cost in Nigeria” can be described as a way to move or extend in a specific direction of building cost in Nigeria. This trend in building cost is associated with the cost of erecting a building which includes the physical preparation and developmental cost. The construction industry is very vital to the socio-economic development of a nation, this is because the affordability or otherwise of construction affect the confidence of the citizen in their existence in any nation. One of the first and most fundamental aspect of human needs is shelter, therefore, it become necessary that the cost of constructing a given building project should be within the reach of the average citizens, (Dr. A.R Oladele 2007). Over the years, the discovery of oil in Nigeria alongside with increasing population led to the increase in the demand for building in Nigeria. Also the unscheduled changes of government in Nigeria lead to the formulation of policics from one government to the other which sometimes do not favour the construction industry. These trends in building cost are caused by the following factors which include:

Method of construction

Limited number of manufacturers of building materials

Employment of foreign expatriates

Increment of wages

Import tariff

Fuel scarcity

Bribery and corruption

Second tier of foreign exchange

These reasons mentioned above are making a tremendous contribution to the increasing building cost which in turn posing a potential blockage to the chance of the less privileged ones to own a house or building and also went further to make it difficult for them to pay rent charged by the lessor on a house. Therefore, this project is aimed at highlighting various factors that influence these trends in building cost in Nigeria. And to come up with possible solution to curtail these treads through oral interview and questionnaires with parties involved also to asses the changes within the period of ten years (10 years) (2000-2010).

1.1  STATEMENT OF THE PROBLEMS

One of the challenges faced by the construction industry in Nigeria is the fluctuation of the prices of building materials which lead to upward and downward movement of building cost in Nigeria. Most average Nigeria citizens are of low income thereby making it difficult for them to own a building if these trends are not properly study to plan ahead of time for a given project.

1.2     AIMS AND OBJECTIVES OF THE STUDY

1.2.1 Aim: The aim of this study is to access the trends in building cost in Nigeria from (2000-2010).

1.2.2 OBJECTIVES

This project has the following objectives:

To identify the behavioural pattern of building cost within a given period of time.

To determine the effects of these trends as it affect the society

To identify the causes of trends and how it can be controlled in the society.

To make probable recommendations on where appropriate.

1.3     SIGNIFICANT OF THE STUDY

To ascertain possible ways of using cost comparison of different cost of building project in Nigeria.

1.4 SCOPE AND LAMINATION

This thesis is to examine a general tendency on how cost of building changes in regards to time and in relation to plant, labour and materials.

The study is limited to the comparison of the cost of a two bedroom bungalow over a period of ten years(10yrs) through updating of some major building element obtained from bill of quantities from tender rates in relation to the trends from (2000 – 2010) using the cost index method of analysis.

1.5 METHODOLOGY

The method adopted for this thesis includes: oral interviews, questionnaires and case study of two (2) bedroom bungalow.

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