An Evaluation Of Abandoned Housing Projects In Kwara State (A Case Study Of Omu-Aran Town, Kwara State)

Project and Seminar Material for Estate Management

An Evaluation Of Abandoned Housing Projects In Kwara State (A Case Study Of Omu-Aran Town, Kwara State)


An abandoned housing project is a construction and development work on site of the project that has been terminated for the preceding 6months or months or more. Such termination has either occurred consecutively or occurred during the period within which the project must be completed or beyond the required completion period.
Abandoned of housing projects during construction is a prevailing problem that the housing sector in omu-aran town, Kwara state has been experiencing, and the issue of abandoned housing project is a matter of grave importance in Kwara state.

Therefore, the research seek to focus on the causes of abandoned housing in omu-aran town, in achieving thus aim of the study, the following objectives are, to identify the causes of abandoned houses within the study area, to identify the causes of abandoned housing projects and to determine the effects of projects abandonment within the study area.

The research design that will be adopted on this project is survey design and the target population on this research is basically people residing at the study area, developers, government agencies and professionals. The methods of data collection that will be adopted for this research are secondary sources. i.e journals, internet, past project and text books, and primary sources, I. E oral interview, questionnaire and personal observation. The method that will be use to analyze data will be in table, charts, and other statistical method.

Table of Contents

  • Certification
  • Dedication
  • Acknowledgement
  • Synopsis

Chapter One

1.0 Background of the study

  • 1.1 Introduction
  • 1.2 Statement of the problem
  • 1.3 Aim and objectives
  • 1.4 Significance of the study
  • 1.5 Scope of the study
  • 1.6 Limitation of the study
  • 1.7 Study area
  • 1.8.1 Definition of terms

Chapter Two

2.0 Literature Review

  • 2.1 Introduction
  • 2.2 Conceptual framework
  • 2.2.1 Concept of Abandoned projects
  • 2.3 Causes of abandoned housing projects
  • 2.3.1 Recovering process of abandoned projects
  • 2.3.2 The recovering strategy
  • 2.3.3 The problems of recovering the abandoned housing projects
  • 2.3.4 Steps of prevention by the Ministry of housing and Local government to avoid abandoned projects
  • 2.4 Effects of the abandoned housing projects
  • 2.5 Theoretical framework
  • 2.6 Review of empirical studies
  • 2.7 Research gap
  • 2.8 Summary of the review

Chapter Three

3.0 Research Methodology

  • 3.1 Introduction
  • 3.2 Research design
  • 3.3 Population of the study
  • 3.4 Method of data collection
  • 3.5 Instruments for data collection
  • 3.6 Sample frame, sample size and sampling procedure
  • 3.7 Method of data analysis
  • 3.8 Questionnaire design

Chapter Four

4.0 Data Analysis and Interpretation

Chapter Five

5.0 Summary of Findings, Conclusion and Recommendations

  • 5.1 Summary of findings
  • 5.2 Conclusion
  • 5.3 Recommendations
  • References
  • Appendixes

Chapter One

1.0 Background to the Study

1.1 Introduction

Abandonment of housing projects is considered one of the most common and serious problems facing omu-aran town, Kwara state. It affects not only the immediate purchaser but also other projects players and the general public. Sometimes it involves expending public fund to revive abandoned housing projects. (Bavani, 2009)
The unceasing abandonment of development housing projects is so shocking in the developing town such as that omu-aran town, Kwara state has remained one of the town in such difficulty, therefore, the significance that the incessant abandonment of projects would bring several effects on real properties and it’s values and the economy can not be overemphasized since some of the development projects provide the basic services that should enhance the real properties developed. The abandonment of development project is the act of discounting or any discontinuing any activities or maintenance works on such development project within a time frame of the contract agreement and with no intention of returning back to the development while reflecting on property development projects suggests that it is when the owner or developer is ceasing to provide the required maintenance management to a development or a developed property.

A project may be abandoned at any stage of the life cycle and incur significant amount of loss. For a housing projects, the ministry of housing and local government considers tat is has been abandoned if,

  1. There has been no substantial activity on site for six (6) consecutive months.
  2. It is involved in a winding up petition registered at the town planning authority.

A real property developed project (housing estate or building) though amongst the development projects, whether it be tangible or intangible should be capable of having values, as well as having the right of possession, it must be noted that all the construction projects are completed on time or ahead of schedule. It is also not uncommon for construction projects to be delayed, or in the worst scenario even abandon due to various reasons aforementioned. Although, development projects are temporary endeavors undertaken to create a unique product and services with a define beginning and ending date (Gardner, 2005). The accomplishment of such purposes should be realized at least times otherwise needless of such development (Gardner 2005).

The causes and effects of the development projects abandonment are not just peculiar to a reason rather cut across several reasons (Ayodele and Alabi, 2011) and as well as creating a total dwindling effect on the values of developed properties located close and within the vicinity. The expected prominence of any earmarked development projects is to be completed, while at the same time, adding values to built environment aesthetic.

However, real property development projects being a capital intensive undertaking should be critically analyzed to ascertain its feasibility and viability before embarking on it. But on several occasions and had been observed governments, contractors and agencies have abandoned development projects mid-way into construction and completion.

Therefore, the study purpose is to investigate and evaluate the causes and effects of development housing project abandonment. Hence the objectives of this study is to; Identify the abandoned houses projects within the study area, to identify the causes of abandoned housing projects and to determine the effects of abandonment of within the study area. There is need for a research that will investigate the causes of abandoned construction projects and this can be acquired from questionnaire, survey, semi-structured interview involving the key players ( I.e Developers, contractors and consultants) covering housing projects. This will allow for more comprehensive view of the problem of abandoned project in omu-aran town.

1.2 Statement of the Problems

Concerning the production of housing in omu-aran, the private developers have been allocated development areas which have been identified by the local government authorities for housing development. The allocation for housing development by the local government authorities is made via development plans, such as structural plans or local plans. This means that land supply for housing development in omu-aran has been allocated the local authority, and developers initially have to select on site which has been allocated for housing.

Therefore, the developers have to study the market before making a decision on any housing development and have to select a suitable site within the area which has been allocated.

Nevertheless, the existence of abandoned housing projects in omu-aran where the homebuyers have suffered and has jeopardized the housing industry and contributed to the housing industry problem. One can see that the existence of abandoned housing problems should be considered seriously. These problems may also influence the housing stock available in the market, thus affecting the supply.

The existence of abandoned housing projects could affect the credibility of the relevant authority that is involved in giving approval for housing development.

For this reason, this research will evaluate the abandonment of housing problems, specially the causes of abandoned housing projects in omu-aran town, Kwara state.

1.3 Aim and Objectives

The aim of this study is to focus on the causes of abandoned housing projects in Kwara state, a case study of omu-aran town. In achieving aimof the study, the following objectives are;

  1. To identify the abandoned housing projects within the study area.
  2. To identify the causes of abandoned housing projects.
  3. To determine the effects of projects abandonment within the study area.

1.4 Significance of the Study

First, the study will made a significant contribution to the body of knowledge in the area of the building industry in omu-aran town, Kwara state.

Secondly, this study will prove valuable in providing a better understanding if the issue to the private developers and to the government agencies, and thereby by further contribute to the literature in relation to comparative house building industry.

Thirdly, the findings of the study will be useful for giving guidance in developing a model that could explain the real determinants of the causes of abandoned housing projects to the developers and to the government agencies that are involved in the building industry. This model will be helpful in providing reliable forecast of the factors that causes the project to be abandoned, this would then aid planning to prevent housing development being abandoned.

Finally, this study has produced significant policy recommendations for the private developers and government agencies which could help the problem of abandoned housing projects in omu-aran in the future.

1.5 Scope of the Study

This study concentrates and restricted on the abandoned housing projects in omu-aran town, Kwara state. The research work covers both the private and the public building sectors. It seeks to evaluate the abandoned housing projects in omu-aran, kwara state.

1.6 Limitation of the Study

It is not easy to achieve a high response from the failure developers, compared with that from successful developers. However, the response rate from this group is considered significant for the purposes of this study, despite that it was not easy to prove such findings, which are related to fraudulent claims and weakness of government agencies although these findings disclosed the reality of the problems related to housing abandonment. It should also be acknowledge that, although the findings of this research are remarkable and useful towards the understanding of the perception of the developers on the issues of housing abandonment, they are based on study of relatively small number of failures, developerscompared with the numbers of successful developers.

Some factors really limit the coverage of this study among which are;

  1. Time allowed for this research work is too small for the wide relevant topic of this nature.
  2. Scarcity of relevant test also limits the extent of this literature review on the subject topic.
  3. The cost of revisiting the case study area also serves as a problem.

1.7 Historical Background of the Study Area

Omu-aran is the most populous and largest town in igbomina land of kwara state. The town was originally called “OMU” but was later changed to omu-aran, about 1,400 people moved finally to the present site. The name “omu” derived from omutoto, the woman whose children established the first settlement at odoomu between the 13th and 14thcentury. Indeed, it was largely in recognition ofomu-aran historical importance, in igbomina land that the town was choosed as the head quarter of the former igbomina, ekiti local government authority in 1968.

It was also became the head quarter of irepodun local government area when the former igbominaekiti local government was split into 2 on the 24th of August 1976. The people speak igbomina dialect or Yoruba language and their costumes are in many ways similarly to those of the other Yorubas.

Their occupation was largely influence by the vegetation of the area. Though, they are predominantly farmers, producing such crops as yams, maize, guinea corn, cassava, beans and vegetables for consumption while the colanut, palm products, Cocoa and coffee in very small quantities are economics crops.

Omu-aran is a famous in handicrafts such as basket making, blacksmithing, carving, dying clothes, weaving, wood carving and poultry.

Omu-aran is a town located in the southern part of Kwara state, Nigeria. Named after the first ruler “OlomuAperan “. Aperan was a prince from Ile-ife, who moved from ile-ife to form odoomuand igbomina land, about 500years ago, omu-aran is the capital of irepodun local government.

The local government was created as igbomina /ekiti division in 1968,which later metamorphosed in to the irepodun local government area in 1976, as a result of 1976 local government reformed. Omu-aran remain the seat of power with eleven word and six offices for administrative services. It is shares boundary with ifelodun local government area to the north, Osun state to the south respectively. Irepodun has an estimated population of about 148,610 people according to 2006 population census and land mass 1,095 square kilometers. It is endowed with Savannah and rain forest vegetation on plain terrain with patches of rivers and streams.

1.8 Definition of Terms


This is the act of discontinuing anyactivities or maintenance works on any project within the time frame of the contract agreement and with no intention of returning back to the work. (Wikipedia 2017)


Development is the process of converting land to a new purpose by constructing buildings or making use of its resources, development mean the process of carrying out construction work which are associated with a change intensity to the use of land or with the re-establishing of existing use. (Webster international dictionary, 2010)


Evaluation is a systematic and objectives assessment of an ongoing or completed project, programme or policy, its design implementation and fulfilment of objectives, effectiveness, impact and sustainability. (UNEG 2017)


This is a building or structure that individuals and their family may live in that meets certain federal regulations. It is anything that covers, protects or supports another thing. (Business dictionary 2017)

Housing Project

A publicly built and operated housing development usually intends for low or moderate income tenants, seniorcitizen etc. ( 2017)


A project is defined as a temporary endeavor with a beginning and end it must be used to create a unique product, service or result and it is a progressively elaborated. (project management body of knowledge, 3rd edition 2016)


This is land or building that is owned or possessedby a person or particular individual. (Oxford dictionary 2017)

Property Development

Property development includes a range of activities from the purchase of land, development of facilities and buildings to meet customers’ requirements. It is also includes either sale or lease of the land of properties on completion. Developers generally coordinate the activities converting plans, needs and ideas into property. (Goodman 2017)

Chapter Five

5.0 Summary of Findings, Conclusion and Recommendations

5.1 Summary of Findings

  1. It is clear that inadequate planning has been one of the causes of project abandonment. Inadequate is the causes of abandonment of projects, such as; inadequate fund/ finance, also owner’s cash flow problem is the major factor responsible for most Abandonment of projects.
  2. Bankruptcies of the contractor, variation of project scope, in competent of project manager which are other causes of abandonment are in agreement with the causes of abandonment of housing project.
  3. Political reason as another factor of abandonment of housing project. This means that changes in government or an administration have often meant changes in policies, at this time, project commenced by previous political administrative are often abandoned to give way for their newly concerned idea.
  4. Wrong estimate and inadequate cost control are also causes of abandonment of housing projects. This is a process of building designs that are not accompanied by cost planning process will produce economically outrageous design which may not be practically financed on ground.
  5. Most of the discovered effects of abandonment of housing projects are; disappointment of the populace, low standard of living, high wastage of resources, reduction in employment opportunities, decrease in tempo if economic activities, decrease in revenue accruing tothe government and difficulties in attracting foreign loan.

5.2 Conclusion

This research work affirmed that several construction projects which would have impacted positively on the development of the state litters the corners and open space of the country. This significantly affects the housing by reducing it’s beauty in addition to the creation of social problems, spread of disease and threatening to the environment. Many factors accounted for this, ranging from error in pre-qualification and procurement procedure, to misappropriation of finance to the incompetent consultants.

It is indeedthatprojectabandonmentisa bigfallacyin the state’s development. The ones who are affected by the issue of abandoned projects are not just developers and contractors, but also it’s a great loss to people like laborers, government officers with middle income or average salaries , or even less than that.

There are also efforts in reviving an abandoned project where the recovering process consist of several stages and at the same time problems also arises during these stages. There have been some researches on the causes and implications of abandoned projects. There are also researches who have recommended some solutions to prevent these issues. There are some countries which have either recommended and some solutions or have implemented measures and guidelines in resolving and preventing from project abandonment from occurring.

However, have stated that an abandoned project are not profitable towards the construction industry and has negative consequences on the economy of the country and state, and most of the losses are on the end users. Therefore, it will be a great advance for the society, industry and state, if a vigorous attempt are made jointly by the civil and private sectors to end this problem of abandoned projects.

5.3 Recommendations

To drastically reduce the causes and effects of project abandonment, the following recommendations are made;

  1. The client should undertake an adequate planning for the project at inception and should make enough fund available based on reliable estimate made by the quantity surveyor at the inception.
  2. The client should engage services of competent construction professionals, the architect should at once and at the inception produce economic design as dictated by the cost plan prepared by the quantity surveyor who also control cost from inception and through out the duration of the contract, the client should not necessarily vary project scope.
  3. There should be prompt payment to the contractor as dictated by the quantity surveyors valuation and architect’s certificate.
  4. The government should also put in all efforts to reduce inflation and when there is change in political government previously started job should not be abandoned for their new idea.
  5. The government should also make sure competent contractor that has strong financial stand are employed to execute contract works.
  6. Only new projects, which can be completed with the available resources should be initiated.
  7. The selection process and consultant should be characterized by accountability, transparency, honesty and integrity.
  8. The use of political undertone rather than economic advantage in sitting of projects should be discouraged.
  9. Corruption at the level of government and other stakeholders in the housing sector should be curbed through due process, economic and financial crime control (EFCC) , budget monitoring and price intelligence unit (BMPIU) and other crime control agencies.
  10. The need to set up a national construction industrial bank is overdue
  11. Time release of project funds to project developers / contractors should significantly facilitate the effective and efficient completion of development projects as at the time expected, while this responsibilities are not only left for the government and the developments but also for the contractors / developers, the practitioners, agencies and other stakeholders providing and executing projects should adhere to these through advocacy and educational intervention which should provide empowerment to the citizens.

An Evaluation Of Abandoned Housing Projects In Kwara State (A Case Study Of Omu-Aran Town, Kwara State)

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An Evaluation Of Abandoned Housing Projects In Kwara State (A Case Study Of Omu-Aran Town, Kwara State)


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