CAUSES AND EFFECTS OF ABANDONED RESIDENTIAL PROPERTIES

CAUSES AND EFFECTS OF ABANDONED RESIDENTIAL PROPERTIES

BENIN CITY)

CHAPTER ONE

INTRODUCTION

1.1   BACKGROUND TO THE STUDY

The unceasing abandonment of residential buildings and development projects is so shocking in the developing countries such that Nigerian has remained one of the countries in such difficulty (Ayodele and Alabi, 2011; Kotangora, 1993; Osemenan, 1987). Therefore, the significance that the incessant abandonment of residential buildings and projects would bring several effects on real properties and its values and the economy cannot be overemphasized since some of the abandoned buildings and development projects provide the basic services that should enhance the real properties developed.

Abandoned residential building is a building whose occupant has moved out basically due to poor maintenance and infrastructure, security, dilapidation, natural disaster which has made the building not to be habitable. The abandonment of residential properties and development projects is the act of isolating the building or discontinuing any activities or maintenance works on such development project within a time frame of the contract agreement and with no intention of returning back to the development (Spelman, 1993). Similarly, O’Flaherty (1993) while reflecting on property development projects suggest that it is when an owner or developer is ceasing to provide the required maintenance management to a developed property.

However, real property development and maintenance being a capital intensive undertaking should be critically analyzed to ascertain its feasibility and viability before embarking on it. But, on several occasions and as it had been observed, governments, contractors and agencies have abandoned old buildings and development projects mid-way into construction and completion.

The causes and effects of these residential building abandonments are not just peculiar to a particular reason rather cut across several reasons (Ayodele and Alabi, 2011), and as well as creating a total dwindling effects on the values of developed properties located close and within the vicinity. Most of this abandoned residential building usually turned into hideout for criminals.

Although, the location of the abandoned property and demand is equally important but accessibility and the availabilities of the infrastructures in the real property location and in the surrounding built environment should be of much more significant determinants in this study context. Values in itself are not intrinsic (Schram, 2012) rather depends on the benefits derivable from that property.

 CAUSES AND EFFECTS OF ABANDONED RESIDENTIAL PROPERTIES