Bamidele Adewole on closing the housing gap and real estate investment in Nigeria
Bamidele Adewole is a seasoned finance expert and entrepreneur with a passion for real estate investment, financial advisory, and business development. With a proven track record of success, Bamidele has been instrumental in executing multi-million dollar transactions and advising a growing client base on wealth management and investment strategies. As a thought leader in the financial industry, Bamidele has authored several insightful reports, facilitated numerous seminars and webinars, and published a book, “The Smart Investor’s Guidebook” in 2020. In this exclusive interview with Alaba Ayinuola of Business Africa Online (BAO), Bamidele shares his inspiration for venturing into real estate as a financial and investment professional and the housing gap problem his company, PWAN STAR is solving. Excerpts.
Alaba: Could you tell us about PWAN STARS and your strategic role at the company?
Bamidele: The Company was set up with one primary objective- to reduce the housing gap in the country. We noticed that there was, and still is, a big challenge with accommodation in Nigeria and we decided to put our heads together, set up a business that would contribute in its own little way towards the reduction of this gap. This we are doing gradually as we currently have almost 100 housing units either developed or at various stages in the development process. Our plan is to have at least 7 to 10 building projects consisting of hundreds of units within our portfolio by the end of 2025.
My role as CEO in the company is simple. I am there to provide general guidance to the company and drive its vision which is to help make the dreams of Nigerians to own their own homes a reality. More specifically speaking, my role covers areas around strategy, product conceptualization, business development and risk management. I also oversee the finance and projects functions. It is my responsibility to ensure that we manage our finances optimally without endue exposure to financial liabilities and similar risks. I also work closely with the technical team in our projects department to coordinate the work of our vendors, artisans, contractors and the likes with the aim of delivering our projects within time and budget benchmarks.
Alaba: What sets your company apart from competitors in the industry?
Bamidele: What set us apart in my own view is our approach to business. We don’t believe in making too much noise or in using hype as a strategy to market our products. We prefer to drive our growth organically through risk management practices as well as product quality and customer service excellence. We don’t just sell products to our clients; we give them a memorable experience – one that would make them almost feel obliged to come back to do more business with us or at least refer us to their networks. We are building a niche for ourselves within the industry as one that does not compromise on standards and ethical considerations. We understand that our clients make sacrifices by investing with us and we do not take this for granted at all. I believe this strategy sets us apart, as many other players in the industry prefer to do things differently.
Alaba: Can you share a notable PWAN STARS achievement or success story?
Bamidele: One notable achievement to point to is our recent completion of a 12-unit apartment block located within the Ajayi Apata New Town, Sangotedo, called The Edifice Apartments. The property includes a fully equipped gymnasium, ample parking space, high speed fibre-optic internet cabling, treated water supply, a children’s playground, automated sewage management, good drainage and road network, horticulture, amongst others. It’s a fully serviced development with services such as cleaning, gardening, fumigation, internet provision, uniformed security, waste disposal and a dedicated customer service support team. We are very proud of this project and the fact that we were able to deliver it within a relatively short period of time, despite the economic headwinds we faced during construction.
Alaba: How is technology transforming the real estate industry, and how is your company adapting?
Bamidele: Technology is a big thing across all industries, and real estate is certainly not an exception. Technology is at the very heart of almost everything we do. From our construction methods, techniques and tools, to our interior finishing, infrastructure developments, provision of amenities and so on, we make sure we continually find ways to do things better and more efficiently through the use of technology. We are also driven by the need to make our customer experience more memorable by providing them with cutting edge options driven by technological ideas.
Alaba: What trends do you see shaping the real estate market in Nigeria?
Bamidele: I see a greater role being played by technology. We are already in the era of smart home automation and I see it becoming more of a standard feature in housing developments, especially within the middle-class segment and potentially lower segment. I also expect to see more emphasis on the provision of green energy solutions as more developers are beginning to embrace sustainability practices in their developments. The awareness is growing amongst both developers and would-be homeowners. I expect that a time would come when building a residential property without including these features would be regarded as “old fashioned” and outdated. We are already incorporating these technologies and features into our developments, so we are well positioned and ready for the future that lies ahead.
Alaba: What inspired you to transition into real estate full time?
Bamidele: The major inspiration for my venturing into real estate was the desire to contribute as much as I could to solving a national problem. I knew I would never be able to do this alone, but I felt that if I played my role, it would help in some way, no matter how small. Also, as a finance and investment professional, real estate being a viable asset class, aligned with my background and training. It wasn’t so much about the financial rewards for me, even though that is important, but the fact that I felt it was something that would allow me make a difference to people by developing and promoting a product that could lead to financial empowerment and long-term wealth creation.
Alaba: What’s one thing you wish people understood about real estate investment?
Bamidele: The major knowledge gap I see regarding real estate investment has to do with the expectation for short term returns. Some people see real estate investment as a scheme where you can invest and start to generate good returns immediately after. All investments require patience, but real estate requires even more patience as the real returns take time to manifest. I would say one should give at least 3 to 5 years to begin to derive the optimal rewards for investing in properties. This does not mean that one cannot generate returns within a shorter period; what it simply means is that on average, most property investments take time to deliver good returns. With good risk management practices, working with a reliable developer and a patient mindset, real estate investors can make a good and sustainable fortune on their investments over time.
Alaba: Lastly, What advice would you give to aspiring real estate professionals?
Bamidele: My advice to them is not to get involved until they fully understand what it takes to survive and thrive in the industry. Because we have a “free entry, free exit” system in the country, there are so many developers who come in unprepared, get their fingers burnt, and aren’t able to cope with the demands and challenges they face. While having financial resources is not an absolute must, it is important that one at least understands how to raise funding for their business, as real estate is highly capital intensive. Many developers therefore struggle to make meaningful impact due to lack of funding and lack of understanding of how to raise funding for projects. Beyond this, there’s also the technical aspects of property business which is often overlooked by many real estate entrepreneurs. I believe every aspiring developer should have a mentor or role model to help improve the quality of their decision making and ensure they don’t make the same mistakes that others before them made. As the popular saying goes, they should “look before they leap”.
BIOGRAPHY
Bamidele Adewole is a seasoned finance expert and entrepreneur with a passion for real estate investment, financial advisory, and business development. With a proven track record of success, Bamidele has been instrumental in executing multi-million dollar transactions and advising a growing client base on wealth management and investment strategies.
As a thought leader in the financial industry, Bamidele has authored several insightful reports, facilitated numerous seminars and webinars, and published a book, “The Smart Investor’s Guidebook” in 2020. His expertise has been showcased on several TV stations, including Channels TV, TVC, Plus TV, and other prominent media outlets, as well as in print media.
As the CEO of PWAN STARS, a fast-growing real estate development company in Lagos, Nigeria, Bamidele drives the company’s vision with his entrepreneurial spirit, inspiring a team of motivated professionals to achieve exceptional results. His leadership has positioned the company as a major player in the industry.
Bamidele Adewole is a member of the Institute of Chartered Accountants of Nigeria, Chartered Institute of Stockbrokers, Chartered Institute for Taxation, and Chartered Institute for Securities and Investments (UK). He is also a member of the Securities and Exchange Commission in Nigeria and an authorised Dealing Clerk of the Nigerian Exchange Group.
