Skip links
private equity logistics warehousing Nigeria 2026

Private Equity Logistics Warehousing Nigeria Q1 2026 Deals ₦150 Billion Estate Intel

Private equity funds (local and international) have doubled commitments to Nigerian logistics and warehousing assets in Q1 2026, with deals worth over ₦150 billion announced since January, according to Estate Intel tracking and fund disclosures.

The surge reflects strong structural tailwinds: explosive e-commerce growth (Jumia, Konga, Jiji scale-up), port expansions (Lekki Deep Seaport, Tin Can Island upgrades), rail connectivity (Lagos-Ibadan full operations, Warri-Ajaokuta progress), and rising demand for modern Grade A warehouses from manufacturers & retailers.

These assets offer investors stable 14–20% net yields with long-term leases (5–15 years), low vacancy risk, and inflation-linked escalations.

Major Funds & Deals (Q1 2026 Announcements)

  1. Actis Africa Real Estate Fund
    • Deal: ₦45 billion for 150,000 sqm warehouse park in Apapa/Lagos-Ogun border
    • Yield target: 16–19%
  2. Helios Investment Partners
    • Deal: ₦35 billion equity in Ibadan logistics hub (near rail terminal)
    • Focus: e-commerce fulfillment centers
  3. African Infrastructure Investment Managers (AIIM)
    • Deal: ₦28 billion for Kano dry port & warehousing expansion
    • Yield target: 15–18%
  4. Stanlib Nigeria Property Fund
    • Deal: ₦22 billion co-investment in Port Harcourt logistics corridor
    • Tenants: oil & gas supply chain
  5. Local PE (Verod Capital, Chapel Hill Denham)
    • Combined deals: ₦20 billion+ in smaller facilities in Lagos & Abuja

Top Logistics Corridors (Q1 2026 Hotspots)

  1. Apapa / Lagos-Ogun Border
    • Why hot: Tin Can & Lekki ports congestion relief
    • Yield: 16–20%
    • Vacancy: <5% for Grade A
  2. Ibadan (Rail Terminal Area)
    • Why hot: Lagos-Ibadan rail full freight ops
    • Yield: 15–19%
    • Growth: e-commerce distribution
  3. Kano (Dry Port & Industrial Zones)
    • Why hot: Northern trade hub + rail connectivity
    • Yield: 14–18%
    • Tenants: manufacturing & agro-export
  4. Port Harcourt / Onne
    • Why hot: Oil & gas supply chain + port upgrades
    • Yield: 14–17%
  5. Abuja / Gwagwalada
    • Why hot: FCTA satellite city + e-commerce last-mile
    • Yield: 13–16%

Projected Returns & Yields (2026 Estimates)

  • Net yield: 14–20% (long leases, inflation escalations 8–12% annual)
  • Appreciation: 10–25% in port/rail-linked zones over 24–36 months
  • Occupancy: 90–98% for Grade A (vs 75–85% older facilities)
  • Exit multiple: 2.8–4.2× after stabilization (5–7 years)

Entry Strategies for 2026

  • Direct investment: Partner with PE funds for co-investment (minimum ₦500M–₦2B)
  • Fractional / REITs: Use platforms like Stanlib or emerging Nigerian REITs for smaller entry (₦50M+)
  • Off-plan / Development: Fund pre-construction in Ibadan/Kano corridors for 20–35% upside
  • Risk mitigation: Prioritize Grade A (modern specs, rail/port proximity), long-term anchor tenants (DHL, Jumia, manufacturers)
  • Financing: Dollar-linked loans (8–14%) for diaspora; local debt at 16–19%

Final Thoughts

The doubling of private equity commitments to logistics & warehousing in Q1 2026 confirms this as one of Nigeria’s most resilient and high-yield real estate sub-sectors.

E-commerce, port/rail upgrades, and manufacturing growth create structural demand that supports stable cash flow and appreciation.

For investors: logistics offers defensive yields (14–20%) with upside from infrastructure — position in Apapa, Ibadan, and Kano corridors for 2026 strength.

Which corridor or fund are you most interested in for logistics plays? Share below!

Disclaimer: This information is for general purposes only and not legal advice. Consult a qualified real estate lawyer for guidance.

Join Over 11,000 Real Estate Enthusiasts! Stay ahead with our quick 5-minute roundup of Nigerian and global real estate updates, delivered to your inbox every weekday. Don’t miss out on insider tips, market trends, and exclusive listings!


Leave a comment

This website uses cookies to improve your web experience.
Home
Search