THE EFFECT OF PROPERTY MANAGEMENT ON PROPERTY VALUES AND PROFITABILITY, CASE STUDY OF IKEJA AND LAGOS MAINLAND

ABSTRACT Property management plays a crucial role in enhancing property value, profitability, and sustainability in real estate. This study assessed the effect of property management on property values and profitability, with a focus on Ikeja and Lagos Mainland. The research addressed key questions, including the factors influencing efficient property management, its impact on capital and rental values, the relationship between management practices and profitability, challenges faced by property managers, and strategies to mitigate these challenges. Using a mixed-method approach, the study employed survey research and case study analysis. A total of 571 questionnaires were administered to Estate Surveyors and Valuers, with 155 (27.15%) retrieved and analysed. Key findings revealed that location, property quality, and construction costs significantly influence profitability. Efficient property management were found to enhance capital and rental values, with 91% of respondents acknowledging its effectiveness. Challenges such as high repair costs, depreciation, and funding constraints were identified as major obstacles. Recommended solutions include regular maintenance, green technology integration, tenant retention programs, and government-backed financing initiatives. The study concluded that proactive property management strategies significantly boost real estate performance. Recommendations emphasized the need for consistent maintenance, policy support for real estate investments, and innovative revenue-generation approaches to sustain long-term profitability and value appreciation in Ikeja and Lagos Mainland.