Setback for Lagos as Investors Abandon Lekki-Epe Truck Parks, Give Reasons

• After sinking hundreds of millions of naira, investors are withdrawing from the Lekki-Epe port corridor
• They provided reasons for their decision to count their losses and consider refunneling their investments into other areas
• Meanwhile, a few are still holding on, hopeful that the government will step in soon and do the needful

Legit.ng journalist Ruth Okwumbu-Imafidon has over a decade of experience in business reporting across digital and mainstream media.

There has been a massive withdrawal of investors from the various truck park projects on the Lekki-Epe port corridor.

Stakeholders claimed this was a result of the Lagos state government's alleged failure to implement investment policies as promised.

The investors are now rechanneling their investments into other areas, as the government has failed to coordinate the activities of stakeholders in the area.

Just last year, Lekki Port, Nigeria's most modern and deepest seaport, successfully received the largest container vessel, Maersk Edirne, with an overall length (LOA) of 366 meters and a width of 48 meters.

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Lekki Port is the only port in Nigeria included in the impressive port rotation, making it the biggest deep seaport in West Africa.

Lekki Port: Investor shares reasons for withdrawal

Speaking on this, Lanre Ope, managing director, Tal Concept, who is also one of the major investors in the truck parking facility in the corridor, told the Vanguard that investors had the right to take what they perceive to be in their best interest.

He explained that he also understood that the government was being slow to act to prevent a repeat of the situation at the Apapa port area of Lagos.

Ope noted that even though the government is making efforts to bring stakeholders to the table for dialogue, the investors may already find themselves under pressure having secured facilities from the banks at high interest rates.

He said:

“For me, that is a concern as a Lagosian, while others are considering pulling out their investments, I have to be patient and get all the parties involved to do what we need to do for all of us to be on same page.

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“Because this is part of the development effort of Babajide Sanwo-Olu’s administration, so it is about Lagos for me and at the same time, it is about business."

He expressed optimism that the engagements would yield fruit in due time and the problems would be resolved, but added that the government needed to be more forthcoming on the matter.

Another investor in the truck park, Tunji Baale, MD of Diamond Star Limited, Operators of the Diamond Star Export Processing Terminal at LilyPond in Apapa, lamented the situation.

He explained that his company was redirecting its investment to other areas, as the discord between the stakeholders and the truckers has led to major losses.

Baale noted that investors had also put in so much funds to prepare the area for business because of the earlier agreement with the government.

He explained that investments had been made into setting up office accommodation, ICT facilities, digital barriers and others, noting that investors pulling out now would have to redirect said investments to other purposes.

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Lagos state set to begin Lekki airport

Earlier, Legit.ng reported that the Lagos state government announced that it is set to commence the construction of the long-anticipated Lekki-Epe International Airport.

The signing of a Memorandum of Understanding (MoU) with Summa Group, a globally recognised construction firm took place recently.

The MoU marked a crucial step towards improving air travel infrastructure and enhancing economic growth in the state.

Proofreading by James Ojo, copy editor at Legit.ng.

Source: Legit.ng