AN APPRAISAL AND RE-ACTIVATION OF ABANDONED BUILDING PROJECTS A Case Study of Construction Industries in Lagos State

TABLE OF CONTENTS

Certification. iii

Dedication. iv

Acknowledgementv

Table of Contents. vi

Abstract ix

List of Tables. x

CHAPTER ONE. 1

1.0 Introduction. 1

1.1 Need for the Study. 2

1.2 Objectives of the Study. 3

1.3 Scope and Limitation of Study. 4

1.4 Significance of the Study. 4

CHAPTER TWO.. 6

2.0 Literature Review. 6

2.1 Project Abandonment7

2.2 Cause of Abandoned Building Projects. 9

2.2.1 Lack of Financial Appraisal9

2.2.2 Physical Disability or Death of Developer10

2.2.3 Mismanagement of Developers Funds by Relations. 11

2.2.4 Land Disputes. 11

2.2.5 Technical Problems. 12

2.2.6 Other Causes Include. 13

2.3 The Effect of Abandoning Housing Projects. 17

2.3.1 Tying Down of Funds. 18

2.3.2 Defacing the Landscape. 18

2.3.3 Extra Completion Cost18

2.3.4 Unfruitful Occupation/Waste of Land. 19

2.3.5 Continued Scarcity of Accommodation. 19

2.3.6 Reduction in Gross Domestic Product19

2.3.7 Serves as Inhabitants of Tongue, Robbers, Nuisance to the Environment20

2.3.8 Serves as Dumping Ground and Affecting the Environment20

2.3.9 Places of Secret Meeting for Occultics/Sane Person. 20

2.4 Implication of Abandoned Projects in Nigeria. 20

2.5 Problems Associated with Building Projects which leads to Abandonment21

2.6 The Problem.. 23

2.7 ReActivation of Abandoned Building Projects. 25

2.7.1 Site Visit for Building Survey. 26

2.7.2 Preparation of Estimate for the Project27

2.7.3 Method Statement27

2.7.4 Preparation of Budget28

2.7.5 Tendering. 28

2.7.6 Cost Control29

2.7.7 Monthly Site Meetings. 30

CHAPTER THREE. 32

3.0 Research Methodology. 32

3.1 Objectives. 32

3.2 Setting Out of the Study. 33

3.3 Sample Design. 33

3.4 Collection of Data. 34

3.5 Method of Data Collection. 34

3.6 Reconnaissance Survey. 36

3.7 Description and Scoring of Data. 36

3.8 Constraints and Problems Encountered During Data Collection. 37

CHAPTER FOUR. 38

4.0 Field Work and Collection of Data. 38

4.1 Analysis/Result of Data. 38

4.2.0 Appraising Solution for Successful Building Projects. 45

4.2.1 Adequate Funding of Project45

4.2.2 Site Investigation and Exploration. 46

4.2.3 Engagement of Reputable Contractors. 46

4.2.4 Proper Management of the Projects. 46

CHAPTER FIVE. 48

5.0 Conclusion. 48

5.1 Recommendation. 49

References. 51

Appendix 54

ABSTRACT

The construction industry in Nigeria is littered with many billions of naira worth of uncompleted projects in reckless states of abandonment. Many claims and counter claims have been traded as to the cause of this unpleasant situation. Abandoned projects are projects once initiated but stopped due to one reason or the other, this study reveals that these abandoned projects are more in the rural areas than the urban centres of Lagosstate. This study is concerned with the identification of the major causes of project abandonment with a view or process of reactivating these abandoned building projects and proffering solutions to obviate and reduce this ugly trend. Causes of abandonment of project include; death of the client, fraud, lack of cash flow forecast e.t.c. Implication of such projects are; social, economic and physical implications some of the proffered recommendation include regular assessment of work in progress, offending contractors should be blacklisted, the procedure of awarding contracts should be devoid of sentiments of favouritism amongst others. The consequence of abandonment of building projects were highlighted to include: tying down of funds and land spaces, extra cost involved in completion of such projects, continued scarcity of residential accommodation, defacing the landscape and harbouring people of deviant behaviour, reduction in the Gross Domestic Product G.D.P and the associated stigma. Suggestion were proffered as to how abandoned of projects could be minimised and how some of the abandoned projects could be revived and completed. Prominent among such suggestion include: adequate planning of projects, proper cost planning/financial appraisal of project, proper site investigations, selection of reputable contractors/manager to oversee project execution.