The Founder of Gtext Holdings, Stephen Akintayo, has identified liquidity challenges as one of the biggest threats confronting operators in Nigeria’s real estate sector, warning that many firms are struggling under the weight of long-term capital commitments.
Akintayo made the disclosure during a news conference in Lagos as part of activities marking the company’s 18th anniversary celebration.
According to him, the structure of the real estate business often ties down funds for extended periods, making it difficult for operators to maintain healthy cash flow without diversifying into other revenue-generating ventures.
“Real estate is structured in a way where capital is tied down for a long time. If you don’t trade and have other businesses you can take on, you will have liquidity problems,” he said.
The Gtext founder noted that several real estate companies facing operational difficulties were not necessarily fraudulent but were struggling with liquidity constraints and unsuccessful attempts to unlock capital.
“We have had our own fair share of liquidity issues. A lot of our colleagues also went through those liquidity challenges,” he said.
“Not all real estate companies are trying to play games. Many have liquidity issues and are trying to unlock liquidity in ways that did not work out as planned.”
Akintayo explained that the company was responding to industry realities through aggressive diversification into agriculture, renewable energy, security technology, e-commerce, and artificial intelligence-driven businesses.
He revealed that while the first phase of Gtext’s growth focused on bulk SMS and digital marketing, and the next decade centred on real estate, the company’s future strategy would prioritise global diversification.
According to him, the new direction includes the launch of Ginido, focused on green energy and security solutions linked to China, as well as GText Farms, which targets agricultural land banking and commercial farming opportunities.
“The company had evolved significantly since it started as a Bulk SMS and digital marketing business 18 years ago,” he said.
Akintayo also disclosed plans to attract institutional investors as part of the company’s restructuring and expansion agenda, stressing that Gtext had largely grown without relying on bank loans.
“We built this company largely without relying on bank loans. Going forward, we are restructuring to begin attracting institutional investors,” he said.
As part of its diversification efforts, he said the company was expanding into private security technology through partnerships with major CCTV manufacturers in China.
“We are partnering with major CCTV manufacturers in China. The plan is to begin assembling security cameras locally before eventually producing them in Nigeria,” he said.
He added that the proposed security business would deploy AI-powered surveillance systems, body cameras, and emergency response technologies to strengthen private security operations.
On artificial intelligence, Akintayo stated that the company had already achieved more than 50 per cent AI adoption among its workforce, noting that the technology was transforming productivity across industries.
“For us, AI is not optional. One person can now do the work of 20 people by leveraging AI,” he said.
He, however, warned that AI could significantly disrupt white-collar employment globally, urging young Nigerians to embrace practical and entrepreneurial skills.
“I project that about 70 per cent of white-collar jobs will disappear. That is why young people must embrace practical and entrepreneurial skills,” he added.
As part of its anniversary activities, Akintayo said the company organised a four-day training programme for realtors focused on digital marketing, land titling, deal closure strategies, and global real estate opportunities.
He also disclosed that the company carried out Corporate Social Responsibility initiatives through fuel and cooking gas distribution to more than 1,000 beneficiaries in Epe, Lagos, and Abuja.
“We partnered with Rainoil and Petrocam to distribute fuel and cooking gas. So far, over 1,000 Nigerians have benefited from the intervention,” he said.
Speaking at the event, the Deputy Group Chief Operating Officer of GText Holdings, Farouq Usman, said one of the major highlights of the anniversary was the Developers and Investors Conference and Exhibition aimed at improving professionalism within the sector.
Also speaking, entrepreneur and CEO of Pamtech Group, Ndubisi Chidomere, urged estate developers to embrace innovation and forward-thinking approaches capable of keeping properties relevant in the future.
He also emphasised the role of the media in promoting real estate development, describing it as an important tool for education, visibility, and industry growth.
In his remarks, industry expert Eizu Uwaoma advised aspiring entrepreneurs against taking loans to start real estate businesses, warning that high bank interest rates could affect sustainability and long-term growth.
Uwaoma, however, noted that borrowing could become necessary for expansion once a business had attained stability and profitability.
