Effect Of Environmental Pollution On Real Estate Development

Project and Seminar Material for Estate Management

Effect Of Environmental Pollution On Real Estate Development


The effect of environmental pollution on real estate development. Environmental pollution is one of the problem affecting real estate development that needs quick attention. Due to many industries located in Nigeria there is much discharge of gaseous effluent and waste disposal. Also there is the increase of automobile which generates fumes; smoke from generating plant which is on the increase polluting the environment. This research use Warri, Delta state as a case study. The research examined the effect of environmental pollution on real estate development. It also look at the extent to which it affected the entire property and other people living around the area and suggested possible solutions.

Table Of Contents

Preliminary Page(s)

  • Title page i
  • Approval page ii
  • Dedication iii
  • Acknowledgement iv
  • Abstract v
  • Table of contents vi

Chapter One

1.0 Introduction

  • 1.1 Background of the study
  • 1.2 Statement of the problem
  • 1.3 Aim and Objectives
  • 1.4 Scope of the study
  • 1.5 Research questions
  • 1.6 Delineation of study areas
  • 1.7 Limitation of the study
  • 1.8 Significance of the study
  • 1.9 Definition of terms

Chapter Two

2.0 Literature Review

  • 2.1 Real Estate And Environmental Pollution
  • 2.1.1 Physical Pollution
  • 2.1.2 Nonphysical Pollutions
  • 2.2 List Of Pollution
  • 2.3 Example Of Special Situations
  • 2.3.1 Underground Storage Tanks (USTS)
  • Change In Commercial Industrial Property Value
  • Effect On Residential Property Value
  • 2.3.2 Asbestos And Other Insulating Materials
  • 2.3.3 Lead Paint And Products
  • 2.3.4 Radon
  • 2.3.5 Nuclear Facilities
  • 2.3.6 Air Pollution
  • 2.3.7 Noise Pollution
  • 2.3.8 Toxic Substances In The Home
  • 2.3.9 Surface Water And Ground Water Quality Requirements
  • 2.3.10 Waste Disposal Facilities And Practices.
  • 2.3.11 Illegal Drug Manufacture-Effect On Property Value
  • 2.4 Testing

Chapter Three

3.0 Research Methodology

  • 3.1 Introduction
  • 3.2 Research Design
  • 3.3 Sources Of Data
  • 3.5 Area Of Study
  • 3.6 Population Of The Study
  • 3.8 Sample Size Of The Study
  • 3.9 Sampling Techniques

Chapter Four

4.0 Data Presentation And Analysis

  • 4.1 Introduction
  • 4.2 Data Presentation
  • 4.3 Data Analysis
  • 4.3.1 Research Questions

Chapter Five

5.0 Discussion Of Findings, Conclusion And Recommendation

  • 5.1 Discussion Of Findings
  • 5.2 Recommendations
  • 5.3 Limitation Of The Study
  • 5.6 Conclusion
  • References
  • Appendix
  • Questionnaire

Chapter One


1.1 Background Of The Study

Warri is one of the well known oil producing city in Delta State Nigeria. Warri is one of the prominent towns in the Niger Delta endowed with great natural resources.

Oil is the primary base of Nigeria’s economy and is also the cause of major environmental and social problems in the Niger Delta region of Nigeria. Over the years, oil exploration, production, and refinement in Nigeria has resulted in various environmental and ecological problems that range from oil spills, gas flares, habitat destruction, air and water pollution, and land degradation. Also, a major cause of oil pollution in that same region is also to a great extent, from the activities of illegal oil bunkering and illegal refineries operated indigenes and some highly placed individuals in government.

The chemical properties of spilled oil often affect the productiveness of soil and pollute water bodies, thereby causing irreparable damage to agricultural lands as well as aquatic bodies. Gas flaring is a significant environmental and economic problem in Nigeria emits approximately 70 million metric tons of carbon dioxide annually (US EIA1999). This adversely affects the socio-economic actives of local communities, which is primarily based on fishing and farming (Egunjobi, 1993). It is estimated that in one region alone in the Niger Delta, flaring is statistically likely to cause 49 premature deaths, 5000 respiratory illnesses among children and some 120,000 asthma attacks and 8 additional causes of cancer each year ( Environmental Rights Action and the Climate Justice Programme). Another major issue ravaging Nigeria is water pollution.

According to Anukam (1997), the main source of water pollution in Nigeria has to do with forestry activities. Deforestation and improper soil tillage practices increase the concentration of soil particles that make their way into water bodies and in turn increases their sediment loads. The discharge of industrial waste materials into bodies of water is another major source of pollution in Nigeria.

Discharges from industries such as petroleum, mining, iron and steel, pharmaceuticals, and textiles among others have increased the contents of sulfates and nitrates in water bodies and has altered properties such as color and odor (Adelegan 2004). A large percentage of Nigerians derive most of their domestic and drinking water from ponds, stream, and shallow wells. Hence, water pollution is a major health concern that places the health of about 40 million people at risk of diseases such as cholera, dynestery, diarrhea, and typhoid (Anukam 1997, Adelegan 2004, Orubu 2006).

Domestic and Industrial Waste has also constituted a major source of environmental pollution in Nigeria.

The improper disposal and ineffective management of municipal waste creates major environmental and aesthetic problems in most of Nigeria’s urban areas. Due to overpopulation and the creation of slums, most municipal areas currently generate more waste than they can manage (Ogbonna and Ekweozor 2002).

1.2 Statement Of The Problem

Irrespective of the numerous environmental laws enacted to protect the environment, environmental degradation has continued unabated. Oils pillage and gas flaring activities are still commonplace in Nigeria, especially in the oil-rich Niger Delta. Gas flaring has also continued unabated irrespective of the Nigerian government’s directive to end flaring by 2010 (Kalu, 2009). Thousands of barrels of oil have been split into the environment through our oil pipelines and tanks in the country. Enforcement of environmental regulations is still poor as industries continue to discharge untreated waste water into the environment. Heaps of refuse are always a constant sight to behold in Nigerian streets and markets.

1.3 Aim And Objectives

The aim of this research work is to examine the effect of environmental pollution on real estate development in Delta state.

However the objectives are as follows:

  1. To identify and examine the impact of environmental pollution on real estate development in Warri.
  2. To make suggestions/recommendations on how to address/reduce pollution of the environment.
  3. To identify the issues of environmental pollution in real estate development.

1.4 Scope Of The Study

Inadequate finding has restricted the carrying out of a complete and comprehensive research on the effect of Environmental Pollution on Real Estate in all the oil producing state in Nigeria. Also there is the problem of distance coverage to visit all the communities within the study are for the propose of data collection. Based on this, Warri in Delta state will be the sitting of the study and all information gathered shall be generalized in the context of research report.

1.5 Research Questions

This research is carried out to find answers/suggestions to the following questions.

  1. To what extent has the Nigerian government program towards reduction of the effect of pollution on real estate been actualized?
  2. How has environmental pollution affected the value of real estate and as such discourage investors from real estate development?
  3. What are the solutions to the challenges of environmental pollution on real estate development?

1.7 Delineation Of Study Area

Warri is one of the well known oil producing city in Delta State of Nigeria. Warri is one of the prominent towns in the Niger Delta endowed with great natural resources. Although it is not the capital tertiary of Delta state (Center of Activity). It is well populated and as well as such, has much commercial activity are carried out within the area. This research work shall be centered on Warri as the study area since it is used as the case study of this research.

1.8 Limitation Of Study

This research work was limited by reluctance of residence to give all information required for the purpose of this research work. Also availability of finance requirement to visit the entire community of Warri limits this work to an extent. Much time were not devoted for this research work. With this limitation, it can not be fully stated with confidence that a complete coverage was given to the project as demanded.

1.9 Significance Of The Study

The following are the significance of this study:

The outcome of this research will educate the general public on the issues and the adverse effect of environmental pollution in real estate development.

The findings from this study is going to necessitate measures that will lead to demand for improved implementation of environmental pollution control laws in Nigeria.

This research will also serve as a resource base to other scholars and researchers interested in carrying out further research in this field subsequently. If applied, it will go to an extent to provide new explanation to the topic.

1.10 Definition Of Terms


Is a change that results when some thing is done or happens; an event, condition, or state of affairs that is produced by a cause.


Pollution is the introduction of contaminants into the natural environment that cause adverse change.

Pollution occurs in different forms, air, water, soil, radioactive, noise, heat, thermal and light.


The sum total of all surroundings of a living organism, including natural forces and other living things, which provide conditions for development and growth as well as of danger and damage.

Environmental Pollution:

Is defined as the release of toxic harmful substances into the environment by their natural force or man and his resources. There are four major types of environmental pollution this include;

  1. Air pollution
  2. Land pollution
  3. Water pollution
  4. Noise pollution
Real Estate:

Is property comprised of land and the buildings on it as well as the natural resource of the land including uncultivated flora and fauna, farmed crops and livestock, water and minerals. It can be grouped into three broad categories based on its use residential, commercial and industrial.


Is the process in which some one or something grows or changes and becomes more advanced.


Is the act of representing something or describing it.

Chapter Five

5.0 Discussion Of Findings, Conclusion And Recommendation

5.1 Discussion Of Finding

Research Question 1

From the findings, the researcher finds that air pollution (90.00%) is the most prevelent type of environmental pollution in the communities studied, suspended smoke particles from diverse sources, vehicles emulsions, other gaseous waste like dust, cement, chemical including incineration are causes of air pollution.

The findings also showed that land/soil pollution (75.00%) was the second noticeable pollution in the studied areas. Ramacingam et al (1990) indicated that refuse dumping gives us much pollution of land breeding dangerous bacteria and aesthetic nuisance.

The third most encountered with pollution was water pollution (53.33%), while the fourth was noise pollution (47.06%). Emenari (1998) held that the 25.8million liters of sewage disposed to Lagos Lagoon annually was responsible for water pollution that made cholera and typhoid fever endemic in the Country. While AKor (1998) gave construction Iran , steel allied factories, generating plants, flow station etc. as sources of noise pollution.

Research Question 2

The finding showed that the major causes of pollution in the communities studies was smoke (84.32%), second was oil spillage (74.00%), improper disposing (67.00%) third, the fourth was industrial waste, followed by noise/second from homes and shops (58.00%) Akor (1998) noted that for over 37 years ELF petroleum Nigeria Limited, and Agric river have generated millions of tons mud’s acids, crude oil, spill and refined products, drill cutting, chemicals, dust, metal scarps, condemned pipes which may be metal, plastic, oil, vulcanized rubber, rags, woods, papers, lubricating oil, noise, heat and other hazardous air pollutant, occurring as solid, liquid and gases and have become accident in poor farm yield, diminished fish catch, acid rains on our roots disruption of the natural length of day and night associate devastation of the ecosystem.

Research Question 3

The finding revealed that land/soil pollution (51.00%) is the most dominant pollution as a result of oil production activities going on in the Country as a whole. From the finding, the second dominant pollution was the general atmosphere (77.00%). The third is river/stream (70.00%) and the fourth plants/animals (68.33%).

To all these Akor (1998) declared that situation where air pollution, water contaminated, land depleted, poor vegetable growth, human being was prone to health hazards.

Research Question 4

Finding from Table (iv), proved that the under listed factors are effects of environmental pollution on the people of Warri. They are loss of lives and animals death and darkening of walls. According to the report from Benton (2004) pollution has dangerous and deleterious effect on lives and properties in general. Jay B. (1977) stated that “each individual has in him an inherent physical activity drive which when utilized in a health environment develop him Organically intellectually and emotionally” but when neglected or abused by environmental pollution may lead to catastrophe and deterioration of one’s health.

Research Question 5

The findings from table (v) revealed regular maintenance/replacement of pipeline (75.66%) is the activity most favored by the government towards minimizing pollution in Warri in Delta State and Nigeria as a whole. The second activity favored by government was effective waste disposal and management (78.33%). Osene (1985) gave faulty disposal of site and in effective disposal method as causes of environmental degradations. Environmental policies and regulations (67.33%) third, the fourth activity employed by the government to minimize pollution was strict compliance to environmental right action (ERA) (60.00%). The fifth activity adopted by the government in minimizing environmental pollution was compliance to legislation (50.00%). Stardom stated that legislation, regulation and enforcement of standard at the local, state and federal levels have improved environmental standards and minimizing pollution.

Generally, much effort are being made to minimize pollution in environment.

5.2 Recommendation

  1. All laws relating to environmental protection should be reviewed.
  2. Waste recycling and treatment should be adopted as another area of investment by individual companies and he government to reduce heaps of generated waste.
  3. Industrial toxicologists should be employed by each oil companies to advance specialist techniques to detoxicating of toxic pollutants.
  4. Law should be enacted to bank the production of chemicals such as CFCs, which acts as silent killer and contaminants our air, which also cause global warming and Ozone depletion.
  5. Higher technology equipment for laboratories should be the priority and also importation of outdated automobiles should be banned.
  6. For building not to be totally damaged stainless steel should be used and components that are durable should be used. Also, painting of building should be done frequently not minding the cost until the issue is addressed.
    Industrialist should contribute in making sure that anybody affected should be treated and cared for in no distant time, instead of making their profit to the detriment of the entire populace.
  7. There are fumes extraction unit that reduces air pollution in most of these oil companies, the companies should try to put them into proper working condition.

5.3 Limitation Of The Study

The researcher is not without limitation, since it coared only six towns in Warri in Delta State. This was due to limited time, lack of finance high rate of transport fares and high cost of materials. Even though there are limitations, the study still has some credit to show on the effect of environmental pollution in Warri Delta State.

5.6 Conclusion

These are usually drawn from the findings of a study or reported answers to research questions or hypothesis proposed (Ejifugha 1998). Therefore, the following conclusions are drawn from the findings.

  1. The major types of environmental pollution found in the studied communities are caused by the activities of man’s operation: air pollution, oil spillage, land/soil pollution, water pollution and noise pollution.
  2. The waste causing pollution found in high concentration and great abundance in these communities are smoke, oil spillage, domestic waste, industrial waste etc. The method of disposal into rivers or left farming of leaps id wrong and ineffective.
  3. Environmental pollution was seen to be dominate in the following area. Land/soil, general atmosphere, river/stream, plant and animals. The effects on these areas were reduction in social usability/aesthetic values, lower productivity and death of aquatic organisms.
  4. The effect of environmental pollution on the life of people is found in greater proportions in these communities are: poor health of the people, loss of lives and properties, poor mental performance, plants and animals death and darkening of walls.
  5. Activities of the government towards minimizing environmental pollution. Though apparently more theoretical and ineffective and the state found to have adopted the following approaches towards minimizing environmental pollution. Regular maintenance and replacement of old pipelines. Use of government laws, decrease and other legislations, use of effective waste management and control method. Compliance to Environmental Right Action. (ERA), enforcement and adherence to environmental policies and regulations.

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