Lagos is Nigeria’s commercial capital but also, more relevantly one of the fastest-growing metropolitan areas in Africa. For the discerning real estate investor, top luxury real estate in Lagos offers a compelling mix of prestige, capital appreciation and rental yield.
Come through as we discuss the profiles of ten of the best areas for real estate investment in Lagos, with pros & cons, current price ranges and types of properties.
We would highlight some trends shaping the Lagos real estate market in the coming year, which you might need to watch out for.
We would go through some worthwhile and actionable investment-advice that you are more than welcome to borrow.
Top 10 Best Areas for Real Estate Investment in Lagos 2026
Below are ten of the most compelling neighborhoods. For each, we would cover pros, cons, price ranges, types of real estate accessible, and why they matter to you as an investor or aspiring homeowner. I don’t particularly believe in the ranking of real estate from best to worst, and this ranking is no different. It’s a collation of some of the best areas for real estate in Lagos. Whichever suits you best is up to you to decide as you weigh it’s pros and cons, whether as an investor or as you buy your second home. Let’s begin.
1. Lekki Phase 1
Pros:
Highly strategic coastal/residential estate in Eti-Osa, Lagos State; well-connected by Admiralty Way, Freedom Way, etc.
Strong demand from expatriates, returning diaspora and young professionals leading to rental potential and capital-growth.
Mix of luxury apartments, detached villas, plots for bespoke developments.
Cons:
Entry cost is high, especially for land. Traffic and infrastructure strain may negatively affect lifestyle corridors.
Price ranges & data:
Average property for sale (houses/apartments) in Lekki Phase 1: ₦ ≈ ₦348.8 million (~US$) according to PropertyPro.ng.
Land for sale: average ~ ₦1.4 billion in Lekki Phase 1 according to NigeriaPropertyCentre.
In some cases land is listed at ₦ 900,000 per sqm or even ₦1,200,000 per sqm in ultra-prime subdivisions.
Property types accessible: Luxury apartments, detached/semi-detached villas, land parcels for bespoke homes or future development.
Investor note: For HNIs and diaspora, this is a top tier play: you may buy a turnkey luxury villa or plot and develop for ultra-premium resale or lease. The rental market is active. If you have the money, you can absorb the premium and focus on capital appreciation + prestige.
2. Ikoyi
Pros:
One of the most prestigious addresses in Lagos. Inner-city island location with high visibility, classic prestige.
International schools, high-end amenities, upscale residential towers, waterfront potential.
Cons:
Very high cost of entry; incremental upside may be lower compared to rapidly developing corridors.
Liquidity may be less for ultra-luxury if market slows.
Price ranges & data:
According to TheAfricanVestior forecast, luxury segments in Lagos (including Ikoyi) see average property price hitting ~ ₦50 million (but that is average across Lagos). [turn0search1]
Reports of luxury developments in Ikoyi and adjacent indicate ultra-premium pricing (in the multiple hundreds of millions of naira).
Property types accessible: Penthouses, waterfront villas, ultra-luxury apartments for global buyers.
Investor note: Ideal for the ultra-HNI, politician or entrepreneur wanting prestige, global-profile asset, and absolute top-tier location. Less about yield and more about brand, status and long-term value hold.
3. Banana Island
Pros:
Ultimately exclusive: an elite enclave often ranked as one of the top addresses in Lagos.
Ratified as ultra-luxury, with custom mansions, gated security, waterfront, very limited supply.
Cons:
Extremely high barrier to entry. Liquidity may be slower if you want to exit rapidly.
Price premiums may mean slower percentage growth versus more “emerging” areas.
Price ranges & data:
Land price example: ~ ₦1,228,457 per m² according to one listing.
Recent rental data in “most expensive estates” in Lagos (which include Banana Island) for 3-bed homes: N5.5 m to N13 m annually; 4-bed: N6-m to N14 m; 5-bed: N15-m to N18 m. [turn0search4]
Property types accessible: Mansion villas, ultra-luxury apartments, high-end bespoke developments.
Investor note: A “trophy” asset for the globally wealthy investor. Think long-term hold, very high prestige. Might serve as an international home + investment.
4. Victoria Island
Pros:
Central business/work hub + residential luxury. Good for professionals, short-lets, rental to expatriates or corporate tenants.
Mix of luxury apartments, high-rise condos, duplexes.
Cons:
Older stock in parts; traffic & congestion high. Entry cost elevated.
Price ranges & data:
Rental data in premium areas: as above (see Banana Island)
Market reports in Lagos note luxury and prime segments showing strong appreciation.
Property types accessible: Luxury apartments, corporate residences, high-end duplexes, short-let kills.
Investor note: Good for rental yield and corporate leasing—ideal if you have short-stay strategy, or want a residence which you can sublet when away. Works well for diaspora frequently travelling between Lagos and abroad.
5. Magodo
Pros:
Mainland growth zone with good infrastructure, gated estates, appealing value compared to island zones.
More accessible price entry relative to Ikoyi/Banana.
Cons:
Mainland perception may mean slightly less prestige relative to island locations. Some infrastructure and amenities may lag premium zones.
Price ranges & data:
Specific numbers for Magodo less publicly aggregated, but comparative research by TheAfricanVestior places value growth in mainland growth zones.
Property types accessible: Detached/semi-detached homes in gated estates, family homes, luxury villas in development.
Investor note: If you’re seeking strong value + growth potential rather than trophy status, Magodo is a solid pick.
6. Ajah
Pros:
Emerging residential hub; more affordable than premium island zones; strong potential for capital appreciation as infrastructure improves.
Attractive for family homes, investors seeking rental yield.
Cons:
Infrastructure still catching up; some parts may have slower appreciation; rental yields may be slightly lower until more amenities mature.
Price ranges & data:
Data less detailed in public domain for price levels, but described in trend reports as “more affordable entry” zone.
Property types accessible: Gated estate homes, mid-luxury apartments, value plays.
Investor note: Good for a diversified portfolio, especially if you’re looking at multiple assets and more yield‐oriented plays rather than trophy prestige.
7. Ibeju ‑ Lekki
Pros:
High growth corridor: with key infrastructure projects such as free trade zone, deep seaport, new airport, etc.
Significant land bank opportunities; high long-term appreciation potential.
Cons:
More speculative; may have a longer investment horizon; infrastructure delivery risk.
Price ranges & data:
Land for sale: genuine land ranges between ₦3 million to ₦200 million for ~600 sqm depending on location & title.
Property types accessible: Land parcels for large development, off-plan estates, large plots for bespoke luxury homes.
Investor note: Ideal for the investor with longer holding period, less immediate rental yield but strong capital growth potential. If you’re comfortable with development risk, this zone can deliver outsized gains.
8. Epe
Pros:
Coastal, more remote from city-centre but cheaper entry; good for holiday-home style or long-term value.
Good upside as Lagos expands further outward.
Cons:
Commute and connectivity still less ideal; rental market less mature; liquidity slower.
Price ranges & data:
Less detailed public price stats; identified in growth-corridor lists.
Property types accessible: Land plots, family homes, holiday‐style properties, buy‐and‐hold parcels.
Investor note: More for strategic long-term hold, maybe combined with lifestyle or holiday home use.
9. Yaba
Pros:
Tech / innovation hub of Lagos (“Silicon Valley of Nigeria”) with growing rental demand from young professionals and tech workforce. [turn0search9]
More moderate price entry compared to ultra-luxury enclaves.
Cons:
Lower prestige compared to Ikoyi/Banana; more competition; yield may be good but cap-gain might be less than premium zones.
Price ranges & data:
Price data specific to Yaba moderate; included in top five neighbourhoods to watch in trend reports.
Property types accessible: High-density apartments, co-living, rental investment properties targeted at tech/young professionals.
Investor note: If you’re interested in rental yield and younger demographic, Yaba could be a strong pick.
10. Gbagada
Pros:
Mainland value zone: accessible, value-oriented, growing infrastructure.
Cons:
Less global prestige; maybe more mid‐luxury; yield might be good but capital appreciation slower than prime island zones.
Price ranges & data:
Specific numbers less publicly detailed; growth zone classification. [
Property types accessible: Mid-luxury apartments, family homes, investment units intended for resident professionals.
Investor note: Good for volume, diversification, maybe buying several units rather than trophy single asset.
Consult with Our Lagos Market Experts
Thank you for reading. If you are ready to take the next step and invest in any of the properties or locations discussed, our team at Salesville Properties is available to provide expert guidance and access to exclusive listings.
To get started, please call +2348146308595 or +2348078755099.
