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According to historical accounts (Leadership Newspaper), Asata, Coal camp, New market, Ogui urban including Obiagu areas of the city belongs to Ogui Nike people. But during the colonial era, the white men started developing parts of the land owned by the Ogui Nike people. That explains why Obiagu is presently inhabited by people from almost the five south east states namely; Abia, Anambra, Ebonyi, Imo and even the present day Enugu state.

Also a portion of Obiagu was then inhabited by the Hausa community, who came to the city as either cattle dealers or artisans. But following the events leading to the outbreak of the Nigeria Biafra war in 1967, a good number of Hausa men living in the area left for their different states in the north and never returned to the area, then the community was taken over by Nigerians from other ethnic groups, particularly Igbo, yet it still answer “Ama Hausa” [house of Hausa community], but has refused to shed its toga of a ghetto. When police or other security agencies are looking for suspected criminals, they usually gear their search light on obiagu, because of the belief that it is a criminal infested area (Ubani, 2012).


Most housing decay and deterioration comes in various forms and their existence is more evident in densely populated parts of the city. Some of the characteristics of slum include inadequate and deficient facilities obsolete buildings, filthy environment, etc. Much concern was been shown about the problems of the slum areas particularly on the level of decay exhibited by such areas and the plight of the low income households which dwell in them, this put lives and health of the residents in danger.

Obiagu experienced a large rapid population growth because of the influx of people from different part of the east as a result of the development from the colonial era, hence houses constructed of hands materials sprang up all over the settlement. Thus, the area is crowded with poor housing structures most disorderly located. The settlement has now grown and developed in an unplanned manner resulting in the deterioration of the values of the property and social status of the estate environment.

Therefore, the main aim of the study is to examine the effects of slum on rental property values in Obiagu.



Obiagu is characterized by slum, where the structure are blighted, high level of occupancy mostly low income group, over crowding, under supply of public amenities, bad roads, this is the basis for this research work, trying to examine the effects of slum on the values of property, located their and also to show or establish that slum development is the major set back in urban growth/development.


The aim of the study is to examine the effects of slum on rental property values in Obiagu. To achieve this aim, the following objectives were raised, they are:

a.                  To identify the causes and effects of slum on rental property values in the study area.

b.                 To establish the negative and positive effects of slum on rental property values in the study area.

c.                  To establish whether slum environment makes investment in real estate and property market transactions, a viable venture.


d.                 To then recommend the best and possible strategy towards eradicating the slum of obiagu area and hence create a suitable environment that will enhance the property value in the areas.


In spite to identify, the research problem earlier stated, some questions have been raised by the researcher; it is believed that when right answers are provided for these questions it will lead to the achievement of the objectives of the study.

The questions are as follows:

1.                 What are the causes and effects of slum on rental property values in Obiagu?

2.                 Are there any negative and positive impacts of slum on rental property values?

3.                 Will investment in real estate and property market transactions in Obiagu be a viable venture?


This research is based on the theory of the highest and best use of land. Highest and best use abdicates the application of land in order to gain maximum benefit not only to their owners but the society at large. Obiagu


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