Vacation rentals have become incredibly popular over the last few years, according to my findings.
According to Ogunji, apartments vary. “We have two bedrooms, three bedrooms and some four-bed rooms, depending on the family size you want. For instance, a two-bedroom apartment costs N60,000 per night. Multiply N60,000 by, let’s say, 20 days, which will give N1.2 million. So, as the number of rooms increases, so does the price.Rental vacations are capital-intensive. Depending on the location you set up the business, it may take N10 million or more to start.
“The location of the land will determine how much it will cost to erect a building. For instance, you cannot compare the land in Ikeja to that of Abule-Egba. The same structure in Ikeja and Abule-Egba might cost you the same amount to build, but the cost of land will not be the same. Land in Ikeja may cost you about N100 million, but that in Abule-Egba may not be up to, because Ikeja is a high-brow area compared to Abule-Egba.
In Lagos State, the government visits apartments at regular intervals to check what they do and ensure they comply with regulations.It is in your interest to own the building for this business. If it is leased to you, the owner of the building, after discovering how profitable the business is, may refuse to continue with the set agreement, which may put you at a loss.