To further attract foreign investor into the state, the Lagos state government has donated a piece of land to The Knauf Group, a German company planning to start a training centre in Lagos for architects, civil engineers and craftsmen.
The Knauf Group is currently establishing a USD75 million building and construction tools manufacturing factory in Lagos, said the approval for the land became imperative in view of the need to encourage investors to continue to invest in Lagos.
The Knauf Group is one of the world’s leading manufacturers of modern insulation materials, dry lining systems, plasters and accessories, thermal insulation composite systems, paints, floor screed, floor systems, and construction equipment and tools.
Commenting on the development, the Lagos state Governor, Akinwunmi Ambode said: “I must commend the German government and The Knauf Group for showing something important to all Nigerians that beyond the economic recession, their total believe in our economy is unshaken because it is not enough for any investor to come into an area where they have never invested before and months after, the parameters for investment are not really looking good, but you stuck in there and beyond the fact that you have gone to procure land, you also have an established office within the last eleven months and you are already pumping in money into what you want to do.
He added that “This is a great pointer to the fact that you believe in the Lagos economy and also believe in the future of Nigeria and I like to encourage other investors to emulate what your firm and government is doing in Lagos and as they show interest, we will not hesitate to give them the necessary support,” the Governor said.
Isabel Knauf, the leader of the company to the presentation said the company has 23 training centres all over the world training about 14,000 people annually, and that they would like to build the same training centre in Lagos where architects, civil engineers and craftsmen would be trained on how to technically install their products.
She said upon completion of the factory, the firm would create 25,000 direct employment, adding that the training centre will cost about EUR2 million to establish, while at least 800 Nigerians will be trained annually in the first phase.
With a total of 999.6 km² land mass, Lagos is the smallest state in Nigeria but the most coveted place for foreign and local investors across all sectors. However, the limited space is a major constraints that makes land in Lagos overpriced and prohibitive for a large scale production and long term investor.