Alpha Mead GMD advocates sustainable construction financing

Admin I Thursday, March 05, 2025

 

LAGOS, Nigeria – Femi Akintunde, Group Managing Director (GMD), Alpha Mead Group has called for increased financial support and strategic investment in sustainable construction across Nigeria and Africa.

Speaking at a recently held workshop themed; “Financing Green Building Solutions: Access Bank’s Role in Promoting Sustainable Construction for the Future,” Akintunde emphasized the long-term economic benefits of green buildings despite the perceived high initial costs.

“The reality is that sustainable buildings may require higher upfront costs, but when you look at operational savings over time, the numbers speak for themselves. With the right design and value engineering, we can drive costs down significantly, making green buildings more accessible and financially viable,” he stated.

Akintunde further urged stakeholders in the real estate sector to deepen their understanding of green construction and affordable housing, noting that the industry must evolve to remain relevant.

“We have to commit to learning more about affordable housing and sustainable building because this is the future. This is how we can unlock the full potential of our built environment or preserve it for future generations,” he said.

Speaking on financing challenges, Akintunde underscored the importance of access to funding, stating that “for green building to gain real momentum, the availability, accessibility, and affordability of finance are absolutely essential. Without these, progress will be slow, and we can’t afford that delay.”

He also acknowledged the risks associated with real estate investments but reassured financial institutions and investors that working with credible developers minimizes these risks. “Yes, real estate comes with its risks, but when you partner with developers who have a strong track record, you’re not just mitigating those risks—you’re positioning yourself for solid returns,” he explained.

He further encouraged developers to be proactive in structuring financial solutions that support sustainability, emphasizing that expertise in sourcing finance is key to managing investment risks.

Referring to a recent statement by Ola Olukoyede, Chairman of the Economic and Financial Crimes Commission (EFCC), regarding the anti-graft agency’s significant recoveries—including an unprecedented 700-units estate in Abuja, Akintunde emphasized the importance of financial transparency in business operations.

“You must ensure that when you’re doing your business and raising your capital, the sources are legitimate. It shouldn’t be some people depositing money with you to build capital as a means of cleaning it up for them,” he cautioned.

He further explained that financial authorities scrutinize projects where cash equity appears disproportionately large, which may lead to inquiries. However, he reassured that if the source of funds is clean and verifiable, there is no cause for concern. “The authorities are not there to make trouble for you, but you must be sure the money you say is your equity is truly your equity and it’s been gotten through legitimate sources,” he stated.

Highlighting Alpha Mead’s innovation in construction, Akintunde revealed that the company’s cutting-edge technology enables them to build homes in just 10 to 15 days. He pointed out that in a volatile economy, speed translates directly to cost savings. “In an environment of rising costs and high inflation, every single day saved on-site means more money saved. Efficiency is no longer optional, it’s a necessity,” he noted.

Additionally, Akintunde reinforced the idea that sustainable construction is not just a passing trend but an inevitable shift the industry must embrace. “Green building is here to stay, and the sooner we align with this reality, the better positioned we will be to create long-term value—for businesses, investors, and society as a whole,” he said.

His presentation served as a call to action for developers, financial institutions, and policymakers to work together in making sustainable housing more accessible. By leveraging innovative construction techniques and ensuring adequate financing, the transition to greener, more cost-effective building solutions in Nigeria and Africa can be accelerated.