Housing deficit: MOFI unveils N100bn real estate fund
The Ministry of Finance Incorporated has announced the launch of the N100bn Series 2 Offering under the MOFI Real Estate Investment Fund, marking a significant step in addressing Nigeria’s housing deficit.
According to a statement on Monday, the new offering builds upon the successful N150bn Series 1 subscription, bringing the total capital raised under the fund to N250bn.
MREIF is a government-backed initiative to bridge Nigeria’s estimated 20 million housing deficit by providing long-term, affordable financing for housing development and homeownership.
The statement noted that the initiative aligns with President Bola Tinubu’s Renewed Hope Agenda and is structured to mobilise private sector investment in the housing sector.
It read, “The Ministry of Finance Incorporated is pleased to announce the launch of the N100bn Series 2 Offering under the MOFI Real Estate Investment Fund.
“This second phase builds upon the successful N150bn Series 1 subscription, bringing the total initial funding under MREIF to N250bn.”
While Series 1 was fully subscribed by MOFI as the anchor investor, Series 2 is designed to attract private sector participation, with N100bn expected from institutional investors.
This move signals MOFI’s commitment to fostering public-private partnerships to scale up housing finance and stimulate inclusive economic growth.
According to the statement, the long-term vision of MREIF is to raise N1tn to transform Nigeria’s housing sector by enabling millions of Nigerians to access affordable homeownership.
The fund prioritises mortgage financing with repayment tenors of up to 25 years and interest rates targeted at 11-12 per cent, significantly lower than prevailing commercial mortgage rates.
This affordability is achieved through a blended finance structure that integrates subsidised public funding with private sector investments.
Speaking at the official launch of Series 2, the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, highlighted the importance of private sector involvement in expanding the housing sector.
He described the Series 1 subscription as a demonstration of the government’s commitment to accessible homeownership and noted that Series 2 provides an opportunity for private investors to join the initiative, which is expected to generate jobs, enhance infrastructure and boost economic growth.
The Managing Director and Chief Executive Officer of MOFI, Dr Armstrong Takang, described Series 2 as a critical step toward unlocking private capital at scale for Nigeria’s housing market.
He emphasised that through the blended finance model, the fund is establishing a sustainable framework for affordable homeownership that will benefit Nigerians across various income levels.
The Chairman of the MOFI Board, Dr Shamsudeen Usman, also commended the initiative, describing it as a landmark achievement in Nigeria’s housing sector.
He stated that MREIF is a key driver of the government’s Renewed Hope Agenda, which seeks to deliver sustainable homeownership opportunities to Nigerians.
