Assessing the Impact of Road Construction on Property Value in Selected Peri-Urban Areas in Ibadan, Oyo State, Nigeria.

Abstract:

The value of real estate investments is significantly influenced by road infrastructure, which enhances accessibility and fosters urban development. This study examines the impact of road construction on property values in peri-urban areas of Ibadan, Oyo State, with a focus on the relationship between transportation infrastructure and real estate dynamics. Specifically, the research evaluates how developments along Akala Road and Ologuneru-Eruwa Road affect property rental and capital values. A cross-sectional design was employed, using questionnaires administered to property occupiers, estate surveyors, and investors. The data was analyzed using descriptive statistics and factor analysis to identify key factors influencing property values, such as road morphology, accessibility, and the effects of road construction. The study reveals mixed perceptions among 250 respondents, with road construction generally viewed as positively influencing business operations, reducing congestion, and encouraging property investment. Notably, 42% of respondents rated road expansion as moderately effective in causing property loss, while concerns about increased safety costs, air pollution, and noise pollution were also noted, with these factors being rated as moderately effective by most participants. Road construction was found to enhance accessibility, reduce traffic diversions, and increase vehicular speeds. However, respondents expressed concerns about property loss, increased crime rates, and environmental degradation, highlighting the complex nature of road construction’s impact on property values. The study underscores the need for comprehensive planning and mitigation strategies, recommending proactive communication with local communities to address concerns and ensure the positive impacts of road construction projects. Keywords: Road Construction, Property Value, Environmental Impact, Urban Development, Peri-Urban Areas, Economic Growth, Community Perception. Word Count: 241 The value of real estate investments is significantly influenced by road infrastructure, which enhances accessibility and fosters urban development. This study examines the impact of road construction on property values in peri-urban areas of Ibadan, Oyo State, with a focus on the relationship between transportation infrastructure and real estate dynamics. Specifically, the research evaluates how developments along Akala Road and Ologuneru-Eruwa Road affect property rental and capital values. A cross-sectional design was employed, using questionnaires administered to property occupiers, estate surveyors, and investors. The data was analyzed using descriptive statistics and factor analysis to identify key factors influencing property values, such as road morphology, accessibility, and the effects of road construction. The study reveals mixed perceptions among 250 respondents, with road construction generally viewed as positively influencing business operations, reducing congestion, and encouraging property investment. Notably, 42% of respondents rated road expansion as moderately effective in causing property loss, while concerns about increased safety costs, air pollution, and noise pollution were also noted, with these factors being rated as moderately effective by most participants. Road construction was found to enhance accessibility, reduce traffic diversions, and increase vehicular speeds. However, respondents expressed concerns about property loss, increased crime rates, and environmental degradation, highlighting the complex nature of road construction’s impact on property values. The study underscores the need for comprehensive planning and mitigation strategies, recommending proactive communication with local communities to address concerns and ensure the positive impacts of road construction projects.