Willingness to Pay for Green Building Features in the Medium-Income Residential Market of Makurdi, Nigeria

Abstract

Investigating willingness to pay for green buildings in Nigeria and other developing nations is an urgent need since the world is advocating sustainable development, which the building industry must adopt while attempting to satisfy housing needs that are yet to be met in most developing countries. Recognizing that medium-income earners are victims of housing deficit who can afford housing to a reasonable extent in Nigeria, this paper aimed to investigate medium-income householders' willingness to pay for a green residential building to aid green building investment decisions in Makurdi. Three objectives were put in place to pursue the aim in which the study was approached quantitatively and adopted survey strategy using 300 questionnaires as the instruments for data collection as suitable for contingent valuation technique. Data collected were analyzed using the weighted mean, logistic model and multiple regression. The findings were that Makurdi medium-income earners find green features essential and are willing to pay a 3.3% premium price to purchase residential buildings with green features. Therefore, the paper recommends that the government and private investors strategically consider green residential buildings while creating more awareness of the importance of building green.