INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XIV, Issue II, February 2025
www.ijltemas.in Page 66
The Factors Influencing Change of Use of Properties in Old-Bodija
Estate, Ibadan, Oyo State, Nigeria
1
Olabisi Esther Olufokunbi and *
2
Timothy Olugbemiga Adewolu Ph.D.
1
Oyo State Housing Corporation, Ibadan, Nigeria
2
Ajayi Crowther University, Oyo, Nigeria
*
Corresponding Author
DOI : https://doi.org/10.51583/IJLTEMAS.2025.1402008
Received: 18 February 2025; Accepted: 24 February 2025; Published: 10 March 2025
Abstract: Urban development often leads to uncoordinated land use patterns as neighborhoods face growing demand for
commercial spaces, causing them to lose their original local character. This study examines the conversion of residential
properties to commercial uses, focusing on the extent of these changes and their influencing factors.
The research utilized a survey design, collecting data through structured questionnaires from 86 commercial property
owners/occupants and 45 Estate Surveying and Valuation firms. Descriptive and inferential statistics, such as weighted mean
scores, least square regression, the Mann Whitney U test, and factor analysis, were employed to analyze the data.
The drift schedules (rise or reduction) in the number of properties changed/modified between 2014 and 2022, showed a
significant progression in property modifications through a linear trend analysis using least square regression models, with
values of 0.1927 and 0.4102. The Mann Whitney U test revealed significant differences in opinions on factors driving property
changes: planning regulations (p=0.001), use of complementary infrastructure (p=0.033), traffic jams (p=0.000), desire to
maximize profits (p=0.000), commercial space demand (p=0.014), and investment potential (p=0.000). Factor analysis (chi-
square=1618.722, p≤0.000) identified four primary components: demand, business, commercial agglomeration and planning
regulations; property upgrades and governmental factors; supply, demand and increased economic activities; and accessibility and
investment maximization.
Recommendations include revising land use strategies to enforce stricter controls aligned with master plans, retrofitting existing
properties for enhanced energy efficiency and occupant satisfaction, thereby meeting the Environmental, Social, and Governance
(ESG) standards, and; substantially reducing the need for the change of use.
Key words: land use, change of use, conversion, residential property, commercial property
I. Introduction
Land use over the ages has continued to change because of the increased population, commercialization, as well as rapid physical
expansion of cities, with commercial land, uses continuously expanding and converting neighbouring residential land uses.
Ankeli, Nuhu, Sule, Popoola and Ankeli (2021) noted that most Nigerian cities are currently facing a significant issue due to the
rising tide of changes in property use. Nwachukwu and Ukpabi (2009) noted that property owners converted their properties' uses,
particularly from residential to commercial purposes, to increase their rental income.
In many parts of Nigeria, the usage of buildings has changed, particularly from residential to other uses (Benedict, Emmanuel,
and Samuel, 2016). Accordingly, Ebube and Emoh (2022) stated that the use of buildings is frequently changed from residential
to commercial in cities in the developing world, with the latter having major effects or diseconomies on the nearby dwellings and
their residents. Change of use of buildings may be in various forms; examples include conversion, modification, or rehabilitation;
they may be completely demolished or only slightly altered and renovated. In ensuring change of use, the physical and functional
characteristics of the properties are modified and/or changed to meet a new need, appealing to the society, aesthetically pleasing,
and socially acceptable; with regards to advancing technology in the built environment. Properties can be changed from one use
to the other for various reasons amongst which include; the improvement of the financial returns of the properties; improvement
of the visual perspective, adequacy of accommodation details, prestige, or highest and best use purposes. Nevertheless, other
factors contribute to a change of use and rebuilding of properties amongst which include natural acts of God and governmental
regulations.
More so, Ankeli, Nuhu, Sule, Ankeli, and Alade, (2019) opined that the phenomena of trending change of use, particularly from
residential to commercial applications, is gradually becoming a norm in most cities. Nearly all residential properties facing main
streets or highways in Bodija have either undergone conversion to stores, offices, or business spaces, or are in the process of
doing so. Additionally, the consistent influx of residents and businesses from neighbouring cities like Lagos worsens the situation
, as commercial land uses increasingly displace residential ones. This poses a treat in the character of the land use. If not carefully
considered and managed, the progressive changes of property use could therefore have severe economic, environmental, and
aesthetic consequences. This foregoing is the reason a study of this kind is deemed justifiable, acceptable, and timely.
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XIV, Issue II, February 2025
www.ijltemas.in Page 67
The aim of this study therefore, was to examine the driving factors responsible for the change of use on the character of Old-
Bodija, Ibadan with a view to enhancing on property investment. The specific objectives were to;
i. examine the level of change of use from residential to other uses in Old-Bodija, Ibadan; and
ii. identify the factors responsible for change of use in the study area;
Statement of the Research Problem
There is a growing trend of property use changes, particularly the conversion of residential properties to commercial ones, driven
by global economic dynamics, increased demand for business spaces, and the quest for higher returns on investment. This shift in
land use is leading to the erosion of residential landscapes, traditionally associated with tranquility and comfort, as commercial
activities increasingly infiltrate these areas giving space for unplanned land use with hustling and other commercial
characteristics taking the order of the day. Acknowledging this phenomenon, it is essential to investigate the extent of these
changes and the factors influencing them.
Previous studies, such as Iroham, Oluwuwnmi, Simon, and Akerele, (2014) in Akure, Kalu, Alozie, Oti, and Onyennah (2017) in
Enugu, and Ebube and Emoh (2022) in Ogui-Enugu, have explored similar issues, showing that residential-to-commercial land
use conversions are on the rise. However, there remains a gap in understanding the specifics of these changes and their drivers in
different local contexts. For instance, Adegunle, Fateye, and Agbato (2016) studied factors affecting rental values in Abeokuta
and found that alterations, particularly those for commercial purposes, were driven by factors like property management, safety,
and population growth. Nonetheless, the research did not focus on the level of change or the particular dynamics of market trends,
such as the interaction of supply and demand, retrofitting of properties, or the built up of commercial activities within the
environment, which this study examined, adopting Ibadan metropolis as a case study.
Studies like Carrión-Flores and Irwin (2004), Xifilidou, Mangina, Spatalas and Tsioukas, (2015), and Ifediora (2020) considered
the change of use to residential and not the reverse, where urbanization activities and spatial landscape should suggest a
transformation from residential to commercial uses. For instance Carrn-Flores and Irwin (2004), and Xifilidou, Mangina,
Spatalas and Tsioukas, (2015), report the progression of land use change from agrarian or rural settlement to residential land uses.
Ifediora (2020) posits the change from commercial land use to residential land use due to factors of demand, income and mono-
commercial ventures. However, these studies do not consider the growing form of urbanization and increasing population leading
to the global trends in demand for commercial spaces, which could compel a change of use from residential to commercial.
Purwanto, Ernawati, and Wijaksono, (2017) considered land use pattern from settlements to commercial use studied on two
streets in Surabaya; Ir.Soekarno/Merr, Rungkut Madya, and Medokan Ayu streets and posited that land values, earnings and
neighbouring land values are the underlining factors that drive land use change from residential to commercial. However, there
appears to be other germane driving forces like the demand for commercial needs and increased economic activities, commercial
agglomeration, retrofitting, investment potentials and profit maximization.
Significance of the Study
With the current population growth in Old-Bodija, there is increasing pressure on commercial land use, causing commercial
activities to spill over from central business districts into residential neighborhoods. It is therefore imperative to identify the
specific factors causing the change of use of properties in this area, providing valuable information to aid property development
and investment decisions. The findings will inform readers about the roots, patterns, and influences of changes in land use and
how those changes have affected commercial properties through time. Property owners and users will have appropriate
knowledge of the factors influencing how quickly commercial activity spreads into residential neighborhoods in the research
region. This will increase their awareness of this trend. The outcome of this work will contribute to the body of knowledge
previously available on factors influencing property conversions from initial uses. It will help urban planners address
inefficiencies in land use restrictions, which in recent years have had a serious impact on land users' adherence to planning
regulations.
Scope of the Study
The study focused on Old-Bodija in Ibadan, Oyo State, Nigeria, exploring the factors influencing the change of use from
residential to commercial properties. Specifically, the research was geographically restricted to commercial properties located
along Awolowo and Osuntokun avenues within Old-Bodija Estate. These locations were chosen due to their distinctive local
characteristics, progressive growth, and the high incidence of building retrofitting or modifications, and essentially their
transitions from residential to commercial uses. The study aimed to highlight the peculiarities of the local context and assess how
market dynamics shape land use changes in this area.
Limitations of the Study
The geographically restriction of the study to Awolowo and Osuntokun avenues in Old-Bodija Estate, would perhaps limit the
generalization of the findings to other parts of Ibadan or similar urban settings. Additionally, other potential land uses like
industrial uses could have been excluded with the focus on the commercial emergence. Similarly, the study relied on responses
from property owners/occupiers and real estate professionals, which could demonstrate subjectivity and potential biases in the
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XIV, Issue II, February 2025
www.ijltemas.in Page 68
data interpretation. The variability in their willingness to participate also may have affected the depth of the data collected. The
secondary data retrieved from the Oyo State Housing Corporation could not be verified as it could be influenced by political
forces and lackadaisical attitude of some government workers. Finally, changes in the dynamics of the use of land may be
affected by recent policy changes after the study period in ways not covered by this research.
II. Literature Review
Land use change results from the complex interaction between humans and their environment, often involving alterations to the
initially designated land use (Ogungbemi, 2012). Gomna and Yusoff (2016) defined land use change as modifying the intended
function of a property to create an immediate impact. The Great Britain Building Act (2004) describes it as the transformation of
land or buildings to a new usage type requiring complementary adjustments. Urban land use evolves due to demographic shifts,
economic factors, infrastructure development, and policy frameworks (Harvey and Jowsey, 2004).
A common form of land use change involves the conversion of residential properties to commercial use, driven by factors such as
increased demand for commercial space, urbanization, and economic optimization (Ademola, 2012, and Tilumanywa, 2013).
However, Ifediora (2020) studying on conversion from commercial to residential land use, opined that location factors drive the
change. Ogungbemi (2012) and Bello and Arowosegbe (2014) earlier emphasized that land use transitions follow a natural
progression, such as agricultural land converting to residential use before shifting to commercial purposes. This is refuted in
Ifediora (2020) where the highest and best use prevails in a neighbourhood characterized by tertiary institutions with the need for
residential spaces. The local character of a neighbourhood with the growing urbanization bringing greater demand for a particular
land use, could influence the change. Such changes often lead to redevelopment activities like spatial reconfiguration, demolition,
and intensified development.
Market forces specifically play a significant role in land use decisions, as external economic and demographic factors influence
alterations in property usage (Pitkin, 2001). Renovation and structural modifications are frequently associated with land use
changes, with methods including expansion, subdivision, and relocation of spaces (Omar, Rahman, and Salleh, 2012). Tipple
(2004) highlights that existing property enlargement enhances living conditions, privacy and functionality. Subsequent studies
further analyze these transformations in urban buildings (Mohd Jusan, 2010; and Omar, Endut, and Saruwono, 2011).
Aluko (2010) later posited that the conversion of residential land spaces into commercial properties has led to urban challenges
such as overcrowding, rising rents, and informal settlements. In Enugu, the residential conversion rate has surpassed housing
development, leading to a housing shortage (Nwachukwu and Ukpabi, 2009). Therefore, Nwachukwu and Ukpabi, (2009) claim
that the availability of residential housing is declining at the same time that the rate of residential change of use is rising, as a
result. Thus, the rate of residential production is lower than the rate of conversion and concluded that the rate of residential
development negatively impacts change of use. Therefore, if sufficient residential properties are not provided to replace those
converted, the residential property market may face supply constraints (Ogungbemi, 2012), as most of the factors are
characterized by economic inconsistencies.
Several studies identify key drivers of land use change, including economic opportunities, intensity of use, physical obsolescence
of properties, land values, and urban commercial expansion (Ogungbemi, 2012; Purwanto, Ernawati, and Wijaksono, 2017; and
Farooq, Naomi, and Mohammed, 2019). Lean (2005) and Sedney (2012) link land use transitions to population growth,
commercial demand, government policies and implementation, proximity and accessibility. Socioeconomic factors, transport
networks, and neighborhood characteristics also influence these changes (Safariah, 2006).
In Osogbo, Nigeria, Ankeli, Nuhu, Sule, Popoola, and Ankeli (2021) analyzed trends in residential change of use and rental
values, finding that economic and demographic variables significantly influence these transitions. The study demonstrates that
conversions lead to higher annual rental values, reinforcing the economic motivation behind land use changes.
In conclusion, literature underscores that land use change from residential to commercial properties results from multifaceted set
of factors. Key drivers include economic opportunities, urbanization, policy frameworks, investment potential of properties and
infrastructure development. Specifically, the conversion of residential to commercial use is propelled by increasing demand for
commercial spaces, location factors, economic optimization, and urban agglomeration. While such transformations can stimulate
economic growth and shifts in land use priorities, they often introduce challenges like increasing property value, housing
shortages and urban congestion and informal settlements. Addressing these transitions would therefore necessitate balanced
policies that align urban development with sustainable land use practices.
III. Methodology
The research design employed for this study is a survey design, which is suitable for quantitative research problems. This design
adopted the use of structured questionnaires to collect data from respondents. The primary data for this study was collected
through the administration of structured questionnaires on two sets of respondents: Owners/Occupants of Commercial Properties
and Estate Surveying and Valuation Firms. The sampling frame for Owners/Occupants of Commercial Properties was retrieved
from the records of the Oyo State Ministry of Housing (2022) and a pilot survey, which revealed 86 commercial properties and 3
residential properties along Awolowo and Osuntokun Avenues in Old Bodija. Also, the sampling frame for Estate Surveying and
Valuation Firms was retrieved from the 2023 directory of the Oyo State branch of the Nigerian Institution of Estate Surveyors and
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XIV, Issue II, February 2025
www.ijltemas.in Page 69
Valuers (NIESV), which indicated 45 practicing firms in Ibadan. Due to the sizeable number of properties and firms in the study
area, a total enumeration sampling was adopted. Hence, the sample size of 86 and 45 was adopted for owners/occupants of
commercial properties and Estate Surveying and Valuation firms respectively.
The major tool for data collection was a structured questionnaire containing both open-ended and closed-ended multiple-choice
questions. This questionnaire was administered to the target populations to collect primary data. Data from the records of the Oyo
State Housing Corporation, formed the secondary data. The data collected was analyzed using both descriptive and inferential
statistics to assess the level of change of use and the factors responsible for the change of use. Specifically, for Descriptive
Statistics, frequency, percentages, and weighted mean scores were used to summarize the data, while for Inferential Statistics, the
KMO and Bartlett's test, communalities, total variance, and Mann Whitney U Test were used to test hypotheses and determine the
significance of the factors influencing the change of use. To determine the correlation between the target population's responses
to the study, the Mann-Whitney U test was used.
IV. Findings and Discussion
Level of Change of Use from Residential to Other Land Uses.
The study reveals a significant level of property change of use along Awolowo and Osuntokun Avenues in Bodija, Ibadan.
According to estate firms in Ibadan, the level of change of use is categorized as very high (26.3%) and high (44.7%) along
Awolowo and Osuntokun Avenues respectively. Similarly, property occupants along these avenues perceive the level of change
as very high (23.8%) and high (48.8%). These figures indicate a substantial transformation in property use within the study area.
An analysis of change of use trends between 2014 and 2022, based on data from the Oyo State Housing Corporation, further
supports this observation.
Table 1: No of Properties Changed and Converted Over The Years
Year
2014
2015
2016
2017
2018
2019
2020
2021
2022
Total
Awolowo
Avenue
1
3
2
0
1
2
3
8
3
23
Osuntokun
Avenue
2
3
0
1
5
3
2
1
0
17
Source: Oyo State Housing Corporation, Bodija, 2023
Table 1 indicated that in 2014, 1 property was remodeled or changed along Awolowo Avenue, while 2 properties underwent
modifications along Osuntokun Avenue. The highest number of changes along Awolowo Avenue occurred in 2021, with 8
properties converted, whereas Osuntokun Avenue recorded its peak in 2018 with 5 conversions. Over the entire study period, 23
properties were changed or converted along Awolowo Avenue, compared to 17 properties along Osuntokun Avenue. This
indicates a higher frequency of land use change along Awolowo Avenue than along Osuntokun Avenue.
The findings suggest that Bodija, particularly Awolowo and Osuntokun Avenues, has undergone notable land use transformations
over the years. The increasing rate of change of use, as reported by both estate firms and property occupants, highlights the
growing commercial appeal of these areas. The demand for property modifications aligns with urbanization trends, economic
opportunities, and shifts in land use preferences. The higher number of changes of uses along Awolowo Avenue compared to
Osuntokun Avenue suggests that Awolowo Avenue is experiencing a more rapid shift in land use. This could be due to factors
such as better accessibility, higher demand for commercial spaces, or proximity to key urban infrastructures. Additionally, the
spike in property changes in 2021 along Awolowo Avenue and in 2018 along Osuntokun Avenue may be linked to economic
cycles, policy changes, or increased commercial activities during those periods. Overall, the research confirms a dynamic urban
environment in Bodija, Ibadan, with a strong trend of residential-to-commercial change of uses. This trend could have
implications for urban planning, property values, and infrastructure development in the area.
Fig 1: Trend in the Number of Properties Changed/Modified Along Awolowo and Osuntokun Avenues
1
3
2
0
1
2
3
8
3
23
2
3
0
1
5
3
2
1
0
17
y = 1.4424x - 3.3333
= 0.4102
y = 0.7273x - 0.6
= 0.1927
-50
0
50
2014 2015 2016 2017 2018 2019 2020 2021 2022 Total
Trend in the Number of Properties Changed/Modified
Along Awolowo and Osuntokun Avenues
Number of Properties (Awolowo Avenue)
Number of Properties (Osuntokun Avenue)
Linear (Number of Properties (Awolowo Avenue))
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XIV, Issue II, February 2025
www.ijltemas.in Page 70
Source: Oyo State Housing Corporation, Bodija, 2023
The study analyzed the trend in change of use along Awolowo and Osuntokun Avenues in Bodija, Ibadan, between 2014 and
2022. Figure 1 illustrates the pattern of properties modified over the years, with a linear trend analysis applied to establish the
trajectory of these changes. A least squares regression method was utilized to develop the trend outlines, providing a predictive
model for the future number of properties expected to be changed or modified. The analysis produced two trend equations, with
R-squared (R²) values indicating the strength of the observed trends. The first equation, Y = 0.7273 0.6, yielded an R² value of
0.1927, while the second equation, Y = 1.4424x 3.3333, showed an R² value of 0.4102. These values suggest a notable increase
in property modifications over the study period, with a stronger trend observed in the second equation. Further investigation into
the state of properties before conversion revealed that both Awolowo and Osuntokun Avenues were originally dominated by
prototypical detached 4-bedroom houses, typically designed with one bedroom and conveniences on the ground floor and three
bedrooms upstairs. Initially, the most common form of modification was garage conversions into kiosks or neighborhood shops.
However, after conversion, the area witnessed a surge in commercial properties, including lounges, restaurants, and clubs, among
other commercial developments.
Types of Property Modifications
Data retrieved from the Oyo State Housing Corporation indicated that along Awolowo Avenue, property changes primarily
occurred through: Extensions (60%), Modifications (25%), and Redevelopment (15%). Similarly, data from the Ministry showed
that along Osuntokun Avenue, property changes were mainly through: Extensions (60%), and Modifications (30%). These
findings indicate that property extensions are the dominant form of modification on both avenues, followed by modifications,
with redevelopment occurring less frequently.
Discussion on the Level of Change of Use in Bodija, Ibadan
The analysis confirms a progressive trend in change of property use along Awolowo and Osuntokun Avenues. The values
suggest an increasing rate of property modifications, reflecting growing commercial activity in the area. The shift from residential
to commercial use, particularly in the form of lounges, restaurants, and clubs, highlights the evolving economic and social
landscape of Bodija. The prevalence of extensions (60%) in both avenues suggests that property owners primarily seek to adapt
existing structures rather than completely redevelop them. However, the higher proportion of redevelopment (15%) along
Awolowo Avenue indicates that it is experiencing a more intensive transformation compared to Osuntokun Avenue. Overall, the
findings underscore a significant and ongoing shift in property use in Bodija, with commercial developments replacing traditional
residential structures. This transformation reflects broader urbanization trends and increasing demand for commercial spaces in
prime locations. The observed trends also have implications for urban planning, property values, and infrastructure needs in the
region.
Factors Responsible for Change of Use in Bodija, Ibadan
The study examined the perspectives of Estate Surveying and Valuation firms as well as property occupants along Awolowo and
Osuntokun Avenues regarding the key factors driving the change of use of properties in Bodija, Ibadan. To evaluate any
significant differences in opinions between these two groups, a Mann-Whitney U test was conducted. Respondents assessed 16
factors influencing the shift from residential to commercial use, which include: Investment Potential, Interaction between Supply
and Demand, Influx of Residents and Businesses, Demand-Pull for Commercial Space, Agglomeration of Commercial Activity,
Accessibility, Space Demand, Desire of Business Owners to Maximize Profits, Demographic Change, Population Size, Inability
of Central Business Districts (CBDs) to Contain Growing Economic Activities, Planning Regulations, Upgrading of Older
Structures, Use of Complementary Infrastructure, Traffic Jams, and Government Policy.
Table 2 presents the results of the Mann Whitney U test of difference in the opinion of the respondents (Estate firms and the
occupants of properties along Awolowo and Osuntokun Avenues, Bodija, Ibadan. The opinion of Estate firms in Ibadan showed
that the major factors include Investment potential which was ranked 1st with a mean score of 4.7105 while Interaction between
supply and demand was ranked 2nd with a mean score of 4.6579. More so, the Influx of residents and businesses was ranked 3rd
with a mean score of 4.7316 while the demand pull for commercial space was ranked 4th with a mean score of 4.6053.
Agglomeration of commercial activity was ranked 5th with a mean score of 4.5789. Incidentally, demand for space and the desire
of business owners to maximize profits ranked 6th respectively with a mean score of 4.3158. This is contrary to the general
opinion that the need for additional space and desire for profit maximization could lead to a change of use. The least considered
factors include the Use of complementary infrastructure which was ranked 14th with a mean score of 3.6842 while traffic jams
were ranked 15th with a mean score of 3.6579 and Government policy was ranked 16th with a mean score of 2.9637.
The occupants opined that the factors responsible for change of use include Investment potential (4.9500); Desire of business
owners to maximize profits (4.8250); Interaction between supply and demand (4.7250) which have been ranked 1st, 2nd and 3rd
respectively. It is observed that the opinion of occupants shows that the desire of business owners for profit maximization is
ranked 2nd unlike the ranking of the Estate firms, which was 6th. The demand pull for commercial space and Accessibility were
ranked 4th respectively with a mean score of 4.7000. The least considered factors include the upgrading of older structures
(3.600); Government policy (2.8500) and Traffic jams (2.7750) which were ranked 14th, 15th and 16th respectively.
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XIV, Issue II, February 2025
www.ijltemas.in Page 71
The results of the Mann Whitney U test provided in Table 2 showed that there were no significant differences in the opinion of
the respondents because p 0.005 except for Planning regulations (0.001); Use of complementary infrastructure (0.033); Traffic
jams (0.000); Desire of business owners to maximize profits (0.000); The demand pull for commercial space (0.014) and
Investment potential (0.000) which showed that a p value≤ 0.05 which implied that there were the ones that showed significant
differences in the opinion of the respondents. These results indicate that while most factors were agreed upon, Estate firms and
occupants significantly differed in their perception of government regulations, infrastructure needs, traffic congestion, and
economic motivations such as investment potential and profit maximization.
Table 2: Mann Whittney U Test of Difference on the Factors Responsible for Change of Use in the Study Area
Factors Responsible for
Change of Use
Estate Firms
Occupants of
Properties
Mann Whittney U Test
Mea
n
Std.
Dev
Ran
k
Mean
Std.
Dev
Rank
Mann-
Whitne
y U
Wilco
xon
W
Z
Asymp.
Sig. (2-
tailed)
Investment potential
4.7
105
.45
961
1
st
4.72
50
.59
481
3
rd
1386.00
2127.0
0
-1.019
.308
Interaction between
supply and demand
4.6
579
.53
405
2
nd
4.45
00
1.0
779
7
8
th
1002.00
1743.0
0
-3.411
.001**
Influx of residents and
businesses
4.6
316
.48
885
3
rd
4.00
00
1.1
250
9
12
th
1167.00
1908.0
0
-2.130
.033*
The demand-pull for
commercial space
4.6
053
.49
536
4
th
4.70
00
.64
435
4
th
1366.00
2107.0
0
-1.165
.244
Agglomeration of
commercial activity
4.5
789
.50
036
5
th
4.20
00
1.0
838
3
10
th
1314.00
2055.0
0
-1.288
.198
Accessibility
4.5
526
.72
400
6
th
4.62
50
.86
236
6
th
1344.00
2085.0
0
-1.306
.191
Space demand
4.3
158
.66
191
7
th
2.85
00
1.2
639
1
15
th
1401.00
4641.0
0
-.711
.477
Desire of business
owners to maximize
profits
4.3
158
.66
191
7
th
2.77
50
1.0
670
6
16
th
813.00
4053.0
0
-4.229
.000**
Demographic change
4.2
368
.71
411
9
th
4.07
50
.82
332
11
th
1388.00
4628.0
0
-.837
.402
Population size
4.1
842
.65
162
10
th
4.22
50
1.0
308
5
9
th
1458.00
2199.0
0
-.391
.696
Inability of the central
business districts to
contain the ever-
increasing economic
activities
4.0
263
.63
616
11
th
4.82
50
.49
746
2
nd
854.00
1595.0
0
-4.935
.000**
Planning regulations
3.9
211
.99
679
12
th
4.70
00
.78
595
4
th
1208.00
1949.0
0
-2.452
.014**
The upgrading of older
structures
3.7
895
.77
661
13
th
3.60
00
.86
566
14
th
1339.00
4579.0
0
-1.118
.263
Use of complementary
infrastructure
3.6
842
.84
166
14
th
3.90
00
1.1
648
13
th
1467.00
2208.0
0
-.325
.745
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XIV, Issue II, February 2025
www.ijltemas.in Page 72
9
Government policy
2.9
737
1.1
737
4
16
th
4.95
00
.21
932
1
st
1156.00
1987.0
0
-3.633
.000**
Traffic jams
3.6
579
.90
871
15
th
4.60
00
.77
296
7
th
1340.00
2081.0
0
-1.282
.200
Source: Field Survey, 2023
Factor analysis was further conducted to discern the factors responsible for the changes in use and the results are as presented in
the proceeding tables:
Table 3: KMO and Bartlett's Test on the Factors Responsible for Change of Use
Kaiser-Meyer-Olkin Measure of Sampling Adequacy.
.808
Bartlett's Test of Sphericity
Approx. Chi-Square
1618.722
df
120
Sig.
.000
Source: Field Survey, 2023
The Bartlett's test of sphericity and smpling adequacy are shown in Table 3 and demonstrates that the sample utilized is sufficient
as the chi-square of 1618.722 is significant at p≤0.000. The KMO of 0.808 shows that the sample used was sufficient. Factor
analysis is applicable since Table 3 shows that the Bartletts test is extremely significant (p≤0.000).
Table 4: Communalities on the Factors Responsible for Change of Use in the Study
Factors Responsible for Change of Use in the Study
Initial
Extraction
Interaction between supply and demand
1.000
.719
Planning regulations
1.000
.776
Use of complementary infrastructure
1.000
.905
Accessibility
1.000
.708
Population size
1.000
.802
Influx of residents and businesses
1.000
.762
Government policy
1.000
.796
Traffic jams
1.000
.657
Demographic change
1.000
.847
Space demand
1.000
.742
Desire of business owners to maximize profits
1.000
.794
The demand-pull for commercial space
1.000
.774
The upgrading of older structures
1.000
.523
Inability of the central business districts to contain the ever-
increasing economic activities
1.000
.761
Investment potential
1.000
.791
Agglomeration of commercial activity
1.000
.738
Extraction Method: Principal Component Analysis.
Source: Field Survey, 2023
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XIV, Issue II, February 2025
www.ijltemas.in Page 73
Table 4 displays the communalities of the variables, which represent the percentage of variance that is accounted for by the
shared factors responsible for change of use in the study. The values range from 0 to 1, with 0 denoting that none of the variances
in the variable are explained by the common components (extracted) and 1 denoting that all of the variance is explained by the
common factors. The higher the communalities, the better the correlation. Higher communality indicates that larger amount of the
variance in the variable has been extracted by the factor solution. For better measurement of factor analysis, communalities
should be 0.4 or greater. The outcome of the communalities demonstrates that every variable is perfectly and entirely fitted with
the factor solution, ruling out the possibility of removing any from the analysis. Communalities in Table 4 therefore indicate that
all extraction values vary between 0.523 and 0.905 which are well above the acceptable value of 0.4 or greater. Since all variables
demonstrated strong communalities, the results confirm that the factor analysis solution is robust and captures the underlying
dimensions influencing land use change in the study area. Hence, the Communalities of the current study are well acceptable to
precede final results of factor analysis. Table 4 shows that 90.5% of the variance out of 16 variables was linked to the use of
complementary infrastructure, 71.9% of the variance linked to the variable (Interaction between supply and demand) was shared
or common variance, while the upgrading of older structures have 52.3% of the variance.
The eigenvalues for each linear component (factor) before extraction, after extraction, and after rotation are listed in Table 5, a
total of 16 linear components were found in the data set before extraction based on the variables responsible for change in use of
properties. The proportion of variance explained in the table is based on the eigenvalues associated with each factor, which
represent the variation explained by that particular linear component. The data also reveals that four (4) components were
recovered with an eigenvalue minimum of 6.829. The four (4) components resulted in normalized cumulative sums of squared
loading of 75.587%. This demonstrates that 75.587% of the traits of the sixteen (16) isolated factors are represented by the four
(4) components. In other words, the cumulative effect of the four (4) extracted components accounts for 75.587% of the overall
variation in the factors responsible for the changes in land use in Bodija, Ibadan. Therefore, efforts to determine the factors
responsible for the changes in land use in Bodija, Ibadan should be concentrated on the four (4) identified primary factors.
Table 5: Total Variance Explained of the Factors Responsible for Change of Use in the Study Area
Factors Responsible for
Change of Use in the Study
Area
Initial Eigenvalues
Extraction Sums of
Squared Loadings
Rotation Sums of
Squared Loadings
Total
% of
Varian
ce
Cumu
lative
%
To
tal
% of
Varia
nce
Cumu
lative
%
To
tal
% of
Varia
nce
Cumul
ative
%
Interaction between supply and
demand
7.820
48.873
48.87
3
7.8
20
48.87
3
48.873
6.2
29
38.92
8
38.928
Planning regulations
1.909
11.933
60.80
5
1.9
09
11.93
3
60.805
2.5
07
15.67
0
54.598
Use of complementary
infrastructure
1.272
7.952
68.75
8
1.2
72
7.952
68.758
1.7
14
10.71
2
65.310
Accessibility
1.093
6.829
75.58
7
1.0
93
6.829
75.587
1.6
44
10.27
7
75.587
Population size
.930
5.810
81.39
7
Influx of residents and
businesses
.754
4.713
86.11
0
Government policy
.531
3.318
89.42
9
Traffic jams
.402
2.516
91.94
4
Demographic change
.346
2.163
94.10
8
Space demand
.234
1.460
95.56
7
Desire of business owners to
maximize profits
.200
1.252
96.81
9
The demand-pull for
.137
.856
97.67
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XIV, Issue II, February 2025
www.ijltemas.in Page 74
commercial space
5
The upgrading of older
structures
.123
.767
98.44
2
Inability of the central business
districts to contain the ever-
increasing economic activities
.107
.670
99.11
1
Investment potential
.078
.486
99.59
7
Agglomeration of commercial
activity
.064
.403
100.0
00
Extraction Method: Principal Component Analysis.
Source: Field Survey, 2023
Figure 3: Scree Plot of The Factors Responsible for Change of Use
Source: Field Survey, 2023
Four (4) components were retrieved for rotation using the Varimax method from the Scree plot, with a clear cut at the fourth
point.
Table 6: Rotated Component Matrix
a
of The Factors Responsible for Change of Use in the Study Area
Factors Responsible for Change of Use in the Study
Area
Component
1
2
3
4
Interaction between supply and demand
.421
.613
Planning regulations
.843
Use of complementary infrastructure
.540
.684
Accessibility
.640
-.454
Population size
.691
Influx of residents and businesses
.801
Government policy
.854
Traffic jams
.677
-.438
Demographic change
.654
.533
Space demand
.703
Desire of business owners to maximize profits
.727
.478
The demand pull for commercial space
.861
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XIV, Issue II, February 2025
www.ijltemas.in Page 75
The upgrading of older structures
.694
Inability of the central business districts to contain the
ever-increasing economic activities
.760
.427
Investment potential
.856
Agglomeration of commercial activity
.820
Extraction Method: Principal Component Analysis.
Rotation Method: Varimax with Kaiser Normalization.
a. Rotation converged in 10 iterations.
Source: Field Survey, 2023
Table 6 displayed the factor loadings into the four (4) principal components after factors with loadings less than 0.4 were
suppressed to ensure quality and ease of result interpretation. The values in Table 6, which range from 0 to 1, showed the
correlation between the variables and their corresponding components. A variable's correlation to the target component is higher
the higher its loading. A negative value denotes an inverse relationship, while a positive value denotes a direct link.
Factor analysis revealed four principal components driving land use change: Component 1 is Demand, Business, Commercial
Agglomeration, and Planning Regulations includes "Planning Regulations," "Agglomeration of Commercial Activity,"
"Influx of Residents and Businesses," and "Demand Pull for Commercial Space.". Component 2 is Property Upgrades and
Government-Related Factors includes "Government Policy," "Traffic Jams," and "Upgrading of Older Structures.".
Component 3 is Supply, Demand, and Increased Economic Activities includes "Interaction Between Supply and Demand,"
"Use of Complementary Infrastructure," "Inability of the Central Business District to Contain Economic Activities," and "Traffic
Jams." Component 4 is Accessibility and Investment Maximization includes "Accessibility," "Desire of Business Owners to
Maximize Profits," and "Investment Potential."
V. Conclusion
It is common to witness various changes in the character and types of properties in Bodija and most especially along Awolowo
and Osuntokun Avenues which has resulted in a plethora of modern and various types of properties being developed, as well as
repairs, extensions, and other works been conducted on the hitherto built properties. In this regard, the research scrutinized the
level of change of use of properties, and the factors influencing such changes. Formerly characterized by prototype buildings,
these areas have seen a change in residential property use into lounges, clubs, shopping complexes, banks, and educational
properties among others. The study identified four principal components influencing these changes, reinforcing that investment
potential, business expansion, accessibility, and planning regulations play pivotal roles in land use transformation in the study
area.
VI. Recommendations
Based on the findings, the study recommends that property developers, investors, and policymakers should consider key factors
influencing land use changes when making investment decisions. Land use strategies should be revised to include stricter controls
and ensure compliance with master plans. Government regulations must align the change of use projects with planning and
building laws so as to maintain environmental sustainability. Also, property users should carefully review renovation designs to
prevent substandard structures. Urban regeneration efforts should also focus on revitalizing aging properties to create smarter
urban centers. Urban planning should prioritize highest and best use through proper land use allocation, thereby minimizing
unapproved change of use. Lastly, retrofitting existing properties can improve sustainability, efficiency, and occupant satisfaction,
thereby meeting the Environmental, Social, and Governance (ESG) standards, and substantially reducing the need for land use
changes.
References
1. Ademola, F., (2012). Land Use Conversion in Surulere Local Government, Lagos, Nigeria. Urban and Regional Review,
2 (1), 1-14
2. Aluko, O.E (2010) The impact of urbanization on Housing Development: The Lagos Experience, Nigeria. Ethiopian
Journal of Environmental Studies and Management, 3
3. Ankeli, I.A, Nuhu, M.B, Sule, I.A, Ankeli, U.C and Alade, A.F. (2019). Land Use Conversions and Rental Value
Regime in an Emerging City. The Awareness, Attention and Action Proceedings of 74th Research fora International
Conference, Hamburg, Germany, 4th - 5th December
4. Ankeli, A. I., Nuhu, M. B., Sule, A. I., Popoola, N.I. and Ankeli, U. C. (2021). Residential Property Use Conversion and
Rental Value Trends in Osogbo, Nigeria. Being a paper presented at SETIC 2020 International Conference: “Sustainable
Housing and Land Management” School of Environmental Technology, Federal University of Technology, Minna. 3rd
5th, May 2021.
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XIV, Issue II, February 2025
www.ijltemas.in Page 76
5. Bello, I. K., and Arowosegbe, O.S., (2014). Factors Affecting Land-Use Change on Property Values in Nigeria. Journal
of Research in Economics and International Finance (JREIF) (ISSN: 2315-5671), 3(4) 79 - 82. DOI:
http:/dx.doi.org/10.14303/jrief.2014.038. Retrieved on 16th February, 2025 from http://www.interesjournals.org/jreif
6. Benedict, E O, Emmanuel, A. A. and Samuel, I. E. (2016). The Impact Of Building Use Conversion On Residential
Accommodation In Calabar, Cross River State, Nigeria. International Journal of Science, Environment ISSN 2278-3687
(O) and Technology, 5(3), 1445 1462.
7. Carrión-Flores, C. and Irwin, E. G. (2004). Determinants of Residential Land-Use Conversion and Sprawl at the Rural-
Urban Fringe. American Journal of Agricultural Economics, 86(4), 889 904.
8. Ebube, O. A. and Emoh, F. I. (2022). Analysis of the Effects of Building Use Conversion on Property Values in Ogui-
Enugu (2011 2021). IRE Journals 5(9),422-436.
9. Farooq, H. G., Naomi, N. P. and Mohammed, S. G. (2019). Analysis of Commercial Land Use Change in Bida Town,
Nigeria. International Journal of Environmental Design & Construction Management. IJECM ISSN-2325-1884(Print) 26
17(4), 26-37
10. Gomna, E .S and Yusoff, W. Z., (2016). The Impact of Urban Land Use Changes on Residential Property Rental Values
in Kaduna Metropolis, Nigeria. The Social Science, 11(5), 7097-7106.
11. Great Britain Building Act, (2004). Sustainable And Secure Building Act.
12. Harvey, J. and Jowsey E., (2004). Urban Land Economics. 6
th
Edition; Publisher; Palgrave Macmillan, Basingstoke.
13. Ifediora, C. O. (2020). Change of Use: Caustic Factors, Reasons For Low Demand Of Purpose Built Commercial Real
Estate Projects and Conversion To Residential Real Estate Projects In Ajegunle Oyo, Atiba L.G.A., Oyo State; PM
World Journal, 9(5), 1-17 Retrieved from https://pmworldlibrary.net/wp-content/uploads/2020/04/pmwj93-May2020-
Ifediora-change-of-use-from-commercial-real-estate-to-residential-projects.pdf
14. Iroham, C. O, Oluwuwnmi, A. O, Simon, R. F, and Akerele, B. A., (2014) Assessing the Trend in Rental Values of
Commercial Properties in Commercial Hub of Akure, Nigeria. International Journal of Sustainable Land Use and Urban
Planning 1(2), 32-45
15. Kalu, A.U., Alozie M.C., Oti, U.C., and Onyenorah J., (2017). Effects of Residential Land Use Changes to other Land
Uses in Enugu Metropolis. Sky Journal of Soil Science and Environmental Management 6(5), 059-064.
16. Mohd Jusan, M., (2010). Renovation for Personalization: A Sustainable Housing Development. Penerbit UTM
17. Nwachukwu, M.U., and Ukpabi, N.I., (2009). The Impact of Housing Conversion on Residential Development in
Nigerian Cities: A Case Study of Enugu Metropolis; Journal of The Nigerian Institute of Town Planners, 23(1), 39-48.
18. Ogungbemi, A., (2012). Factors Influencing Change od\s Use and Its Attendant Problems: Case Study of Yaya Abatan,
Ogba Lagos State. Journal of Emerging Trends in Economics and Management Success (JETEMS), 3(6), 901 - 906
19. Omar, E. O., Endut, E. and Saruwono, M. (2011). Before and After: Comparative Analysis Modified Terrace House.
20. Omar, D., Rahman, N. A., and Salleh, A. G., (2012). Determinant Factors of Neighbourhood Quality. Planning Malaysia
10(3), 1 - 16
21. Pitkin, B. (2001). Theories of Neighbourhood Change: Implications for Community Development Policy and Practice.
Essay. UCLA Advanced Policy Institute November 26. Available at http://neighbourhoodchange.ca/wp-
content/uploads//2011/07/Pitkin-2001-Theories-of-Neighborhood-Change-Implications-for-Comm-Dev-UCLA.pdf
22. Purwanto, A. N., Ernawati, J and Wijaksono, A. D., (2017). The Factors of Land use Conversion from Settlement Area
to Commercial Area at IR. Soekarno/ Merr Street, Rungkut Street, and Medokan Ayu Street, Surabaya. International
Journal of Environmental & Agriculture Research (IJOEAR). 3(40) Retrieved from https://ijoear.com/Paper-April-
2017/IJOEAR-APR-2017-22.pdf
23. Tilumanywa, V.T., (2013). Land Use and Livelihood Changes in the Mount Rungwe Ecosystem, Tanzania. Stellenbosch
University, South Africa: Ph.D. Dissertation.
24. Tipple, G. A., (2004). Settlement Upgrading And Home-Based Enterprises: Discussions from Empirical Data. Cities.
21(5), 371 - 379
25. Xifilidou, A., Mangina, K., Spatalas, S. and Tsioukas, V. (2015). Which Factors Influence the Choice of Real Estate in
2014: A Case Study on Thessaloniki Historical Center. FIG Working Week 2015, Sofia, Bulgaria, 17-21 May 2015.