Lagos residents and businesses seeking office space in Grade A facilities in Victoria Island and Ikoyi are now paying a minimum of $55 per square metre monthly, according to the latest market report by Knight Frank Nigeria.
The report was presented on Monday during the H2 2025 Edition of the Lagos Market Update in Lagos.
According to the findings, the retail and office segments of the Lagos property market demonstrated sustained resilience in the second half of 2025, adjusting to improved macroeconomic stability.
The report noted that moderating inflation and a steadier naira supported cautious tenant retention and selective leasing activity during the period.
“Prime occupancy held steady at around 73 per cent, reflecting stable demand in a tenant-led market, while prime rents remained near $55 per sqm as landlords prioritised occupancy over rate growth,” the report stated.
It added that mall-based retail performance remained mixed, with limited new supply and gradual changes in tenant composition.
Office leasing activity also expanded beyond traditional core locations, with Ikeja emerging as an increasingly active node. This trend, the report said, reinforces growing demand for modern, well-located office stock outside established central business district corridors.
“Prime retail rents at approximately $25 per sqm monthly remain broadly aligned with regional peers, reflecting limited pricing distortion, while prime office rents around $55 per sqm continue to adjust downward as landlords reprice to defend occupancy, sustaining a visible premium relative to comparable African markets,” it added.
Speaking at the event, the Senior Partner and Chief Executive Officer of Knight Frank Nigeria, Frank Okosun, described the second half of 2025 as a mixed but increasingly stable economic environment for Nigeria.
“Inflation eased further, construction activity outperformed the broader economy, and key public infrastructure corridors experienced renewed momentum. These developments have had a direct influence on how the Lagos property market evolved during this period,” Okosun said.
He disclosed that the report also provides insights from the Port Harcourt and Abuja property markets, highlighting rising construction output, shifting office demand patterns, industrial expansion driven by manufacturing activity, and ongoing adjustments in retail and residential preferences.
According to him, these developments indicate that despite prevailing challenges, the market continues to reposition itself for medium-term recovery.
Knight Frank Nigeria is a member of Knight Frank LLP, a global property consultancy headquartered in London, with more than 20,000 professionals operating from 384 offices across 51 territories.
