Ernest Hanson on Beaufort Properties, Real Estate Investment Opportunities and Prime Residential Developments in Accra

In this interview, Ernest Hanson, CEO of Beaufort Properties, discusses the company’s journey as a leading real estate developer in Ghana and its vision for creating value-for-money residential developments in prime Accra locations. He explains how Beaufort Properties identified a gap in the market for studio apartments, one-bedroom apartments and apartments for young professionals in central Accra, offering an attractive alternative to traditional suburban housing. The conversation explores real estate investment opportunities in Ghana, diaspora property investment, buy-to-let property investment, and the growing demand for dollar-denominated real estate investments in Ghana.

Hanson highlights flagship developments including Beaufort Ridge in North Ridge, Riviera apartments, Trinity apartments, Pinewood Place, Ambassador Row and an innovative Dzorwulu townhouse development focused on family-friendly living. He also examines challenges facing real estate developers in Ghana, including land ownership issues, titled land acquisition in Accra, property financing and bridge financing for property developments. Looking ahead, he outlines Beaufort Properties’ strategy to expand beyond traditional residential developments into hospitality real estate investment, centrally managed apartment developments, serviced apartment investment opportunities, beachfront villa developments in Gomoa and Senya Bereku, and managed villa communities in coastal Ghana. The interview also provides insights into Accra real estate market trends, mixed-use developments in Ghana, opportunities for international investors and Black American investors in Ghana, and the future of the Ghana property market as the company pursues innovative solutions for both the formal housing sector and the broader self-build housing market.

Let us begin with an overview of Beaufort Properties, including its origins and how it has evolved to its current position.

My entry into real estate was very much a personal journey. I returned to Ghana in 2008 and lived with my mother in East Legon. At the time, most of the houses there were large properties with price points starting at half a million dollars.

I was simply looking for a one or two-bedroom unit, but there was no suitable product for young professionals because the available units were far too large. That gap led to the idea of creating a product tailored specifically to young professionals.

It was not intended to be affordable housing, nor was it positioned as high-end. I think there is sometimes confusion about where we sit in the market. In reality, we offer a strong entry point into prime, central locations.

Ultimately, that is what we want to be known for, prime locations at accessible price points. We started with studios ranging from $80,000 up to $200,000. That was our typical price range. Now, with the market having shifted, we are looking at $100,000 to $300,000, but always within very prime locations.

Could you share the vision of Beaufort Properties and the long-term direction the company aims to achieve?

It goes beyond simply providing homes. In every development I have undertaken, I have lived in the property myself. I take pride in ensuring that each development is somewhere I would be happy to live, and ideally, somewhere others would love to live as well. That is the driving vision behind everything I do in real estate.

What I have observed in Ghana is that many young people in their late twenties are building three-bedroom houses far out of the city. As their careers progress and their salaries increase, they find themselves tied to properties that are poorly located and difficult to transition away from.

In most other markets, there is a clear housing ladder. At 28, you might live in a small studio in the city. As your income grows, you upgrade, start a family, and eventually build further out. In Ghana, however, people tend to skip straight to building a house.

This may be because there was simply no suitable product serving them in the city centre. I am trying to fill that gap by offering the possibility of living in a well-designed 45 to 50 square metre apartment in central Accra, rather than committing to a 150 square metre, three-bedroom house that may prove difficult to sell later in life.

That, in essence, is how I see the market and where we are positioned.

Could you elaborate on the level of patronage the company has experienced, as well as the impact it has made?

What we found is that, when you target a specific market, you often end up attracting other segments you had not initially considered. While our focus was on young professionals, we also began to see interest from investors and individuals thinking long-term.
For example, some would say, “I bought a house in East Legon for $500,000, but I would rather purchase three apartments for my children and treat that as a legacy.”

We also saw interest from people looking for a lock-up and go option. Many live in London but want a smaller, more convenient place in Ghana for when they visit, rather than staying with family.

So, over time, we identified multiple end users. However, our core target market remained young professionals working for multinational companies in central Accra who wanted to avoid long commutes. What we discovered alongside that was an equally viable buy-to-let diaspora market.

Could you outline the types of properties your company specializes in developing or constructing?

I started out developing townhouses, again with young professionals in mind. My first product was a 150 square metre, two-bedroom house priced at $150,000 in East Legon. Over time, however, the market shifted towards studios and one-bedroom units.

This shift was largely driven by a gap in the hospitality sector. At the time, Accra had the Mövenpick and other high-end hotels, but very little in the middle range. Before Airbnb became prevalent, studios stepped in to fill that void and have continued to do so. As a result, we identified strong investor demand for accommodation in the $80,000 to $100,000 price range. It was clearly a significant and underserved market.

Is Beaufort Properties continuing to focus on the same areas of development today, or has the scope of your work evolved?

We are still operating in that space, but the market has clearly evolved over the past ten years. If you look at the data on Airbnb revenue, rental income has largely stabilised and, in some cases, is beginning to decline. Nightly rates are under pressure, which points to a broader stagnation in that segment.

As a result, we are looking to pivot away from that model, though not abruptly. One issue I have identified is that many of these units have fragmented ownership. In a building of 50 apartments with multiple individual owners, each unit ends up competing against the others on rent. Prices shift every weekend, consistently trending downward.

The direction I am moving towards is centrally managed units within a single block. That structure would help stabilise pricing across a building and counteract the downward pressure that fragmented ownership creates.

That is the immediate priority, after which we will look to move into other product types.

Considering the competitive landscape, what distinguishes Beaufort Properties from other players in the market?

We have partnered with an international Pan-African brand to manage one of our buildings. Fragmented ownership, in our view, leads to inconsistencies in the experience for the end user, as well as unhealthy pricing competition. We have therefore partnered with CityBlue Hotels to manage one of our developments, as well as future projects.

We believe that after-sales service is critically important, as is maintaining stable pricing and rental performance over time.

Let us discuss your project portfolio. Could you provide an overview of your past and completed projects?

In 2016, we delivered a fairly large project in partnership with Micheletti & Co. Ltd., one of the leading contractors in the market. The development, called Beaufort Ridge, comprised 62 apartments in North Ridge. It was very much a labour of love, but we were pleased with the outcome.

The scheme focused primarily on one-bedroom units, many of which featured sliding partitions to create flexible living and sleeping areas. These were offered at a very attractive price point. We also included two and three-bedroom units within the mix.What we observed was a stronger demand for the one and two-bedroom apartments. I believe the prevalence of three-bedroom properties is a legacy of the past 15 years of construction in Ghana, during which that unit type dominated the market. As a result, competition in the three-bedroom segment is intense, whereas one and two-bedroom units have historically performed well. Beaufort Ridge remains one of our projects I am most proud of.

We later delivered another development, Riviera, comprising 102 apartments with a man-made lake to the rear. It was certainly a bold undertaking and, at times, I felt we had taken on more than we could manage. However, we completed the project and achieved a full sell-out.

Riviera was also one of the earlier developments to incorporate a mixed-use component, with amenities such as a restaurant and a pharmacy at ground level, directly facing the street.

We completed the project during the COVID-19 period.


Could you share insights into the projects you are currently undertaking?

We have recently completed a project adjacent to this development (Riviera), which is called Trinity. The aim was to partner with CityBlue Hotels and focus exclusively on studios and one-bedroom units, effectively segmenting the market. In some developments, studios and three-bedroom units sit alongside one another, but we believe these cater to different clientele. The philosophy behind Trinity was to spatially separate that market into its own dedicated block.

We are also working on Pinewood Place, a 36-unit development that includes a penthouse, with plans for a second tower comprising an additional 80 units. It is shaping up to be a very strong development in terms of design and overall quality.

It has been a challenging process, particularly as we have had to self-finance the project. However, the end product is coming together well, and I am very pleased with the outcome.

Turning to financing, real estate is inherently capital-intensive. Could you explain your funding approach, including whether you engage in partnerships, work with external investors, or use other funding models?

Compared to other markets, we tend to finance the entire development cycle ourselves, from land acquisition through to construction. To reduce upfront land costs, we typically enter into joint ventures with landowners. Given the complexities surrounding land ownership in Ghana, this has proven to be a particularly effective approach.

In terms of construction financing, the market often relies on buyer instalments. However, I have observed that buyers are increasingly taking longer to make payments. If you rely solely on buyer funding, it becomes very difficult to deliver projects on schedule.

As a result, it is essential to introduce bridge financing, whether through equity or debt, to ensure timely completion. For Beaufort Ridge, we were fortunate to secure a shareholder loan.

For other projects, financing has been more challenging. That said, we have worked with local finance partners as well as offshore investors who have supported us along the way. We consider ourselves fortunate to have access to these funding sources.

Ultimately, without strong financial partners, it is not possible to deliver projects successfully, as buyer payments alone are rarely sufficient to see a development through to completion.

Let us turn to the broader industry perspective. From your viewpoint, what are the key challenges and emerging trends shaping the real estate market?

If we look at the market as a whole, it is estimated that around 40,000 housing units are built each year. However, the formal real estate development sector accounts for only about 10% of that figure. The remaining 90% consists of self-build housing.
This means that developers are effectively competing for roughly 4,000 units annually across the high, middle and lower segments of the market, which is relatively small.

The strategic question this raises is whether to continue competing within that 4,000-unit formal market, or to find a way to participate in the 90% self-build market instead. That thinking aligns with the concept of blue ocean strategy, which involves moving away from saturated, highly competitive spaces and identifying untapped opportunities. It is a direction we are actively exploring.

Within the formal market, competition is particularly intense because developers are all vying for a limited supply of titled land. Land ownership remains a significant challenge in Ghana. Legally sound, titled parcels in central Accra are extremely difficult to come by. In our experience, even with diligent and well-intentioned landowners, approximately 90% of land titles we encounter carry some form of issue. It is undeniably a constraint. That said, it does represent a competitive advantage for local developers who understand how to navigate it, even though it continues to be a major constraint on the sector.

Could you describe the profile of Beaufort Properties’ clientele? For example, do you primarily serve local buyers, members of the diaspora, or a mix of both?

There is often an assumption that the market is driven primarily by the diaspora, or even that it is linked to money laundering. However, if I break it down, about ten years ago, roughly 70% of our buyers were local Ghanaians, including businesspeople and investors looking to diversify beyond treasury bills.

Today, that split is closer to 50–50, perhaps with a slight shift towards diaspora buyers, partly driven by increased global interest in Ghana. We are now seeing a more diverse pool of clients, including Black American buyers and even international investors, such as clients from Norway, purchasing within our developments.

To be clear, our buyers are a mix of local Ghanaians seeking dollar-denominated exposure and diaspora buyers who do not want to miss out on opportunities back home.
For example, a young lawyer based in New York might visit Ghana in December and decide to purchase a studio apartment as a base, something they can consider a home when they are in the country.

It would be reductive to characterise this market solely through the lens of money laundering. Every major city contends with that issue to some degree, and Accra is no exception. However, the overwhelming majority of activity in this market is driven by genuine buyers and genuine investors.

Could you tell us about your upcoming projects and plans, particularly any recent or planned launches?

If there is one thing I take pride in, it is a deliberate effort to avoid the copycat approach. From my very first project, I have focused on doing things differently. For example, I was one of the early developers in Shiashie, East Legon, at a time when it was largely an informal settlement.
Even with this building, we were among the first developers on this side of East Legon. More broadly, the nature of our developments reflects a deliberate effort to anticipate where the market is heading and to act with conviction.

One of our upcoming projects is centred on rethinking the townhouse concept. Historically, developers have compromised by offering homebuyers small gardens due to space constraints. The typical townhouse layout features a modest back garden with a shared access road running between them. Our approach is different. We have designed a scheme of ten townhouses arranged around a larger shared central garden. This creates a safer, more child-friendly environment, free from the concerns of vehicle traffic. Children can move freely and play within a secure communal space, which also overlooks a larger park.
This is the project I am most excited about. It is located in Dzorwulu and offers a distinctive concept that is still relatively uncommon in Accra. We have not yet finalised a name, as we want to ensure it reflects both the vision and the history of the site.

The land itself has cultural significance, having been owned by a well-known storyteller and visited by a number of pan-African figures. We are taking our time to develop the concept properly and ensure it does justice to that legacy.

In addition, we are working on another townhouse development called Ambassador Row, located in Ridge, close to Osu. This project will also comprise ten townhouses in a prime area, with a strong focus on family-friendly living.

While this represents a slight shift in our development model, the underlying principle remains the same: to create distinctive, well-considered products that stand apart in the market.

Beaufort Properties appears to focus heavily on prime locations. Could you elaborate on the strategy behind this approach and how it influences the company’s success?

It is largely driven by the nature of the market. The nature of the market is such that construction costs are broadly the same whether you are building in central Accra or on the outskirts. However, the risks associated with land are significantly different.
In central Accra, much of the available land is government-owned, which generally carries lower title risk and offers clearer acquisition processes. As a result, developers are often drawn to these locations. In many ways, we are responding to the realities of the market.

Accra can be described as a “doughnut” market, where the central areas operate largely in dollars, while the outskirts function more in cedis. It is therefore easier to finance projects with dollar-denominated exposure, which reflects the broader business environment.

That said, if the cedi remains stable over the long term, and buyers gain confidence in the local currency, this dynamic could gradually shift.

We are already seeing growth in areas such as Ayi Mensah and Oyarifa. Over time, I expect developers to expand further into these and other emerging parts of Accra.

From your perspective, how do you see the real estate market evolving in the coming years, and what opportunities or challenges do you anticipate for Beaufort Properties within that landscape?

As I mentioned earlier, we are effectively targeting a very small segment of the market. Developers are competing for roughly 4,000 units per year, which represents only about 10% of total housing delivery.

The real opportunity lies in finding ways, through financial engineering, strategic partnerships and the use of technology, to engage with the remaining 90% of the market, namely individuals who are self-building over a period of six to seven years.

That is where we see the greatest potential. We are therefore working with financial partners and institutional investors to develop products and solutions that can better serve this segment of the market.

Could you share the timeline for the upcoming launch?

We are currently on site and progressing with construction. One of the key outstanding elements is finalising the name of the development, which has taken longer than expected.

In the meantime, we are building a show house, and we anticipate launching the project within the next three to six months.

Looking ahead over the next five years, what is your vision for the expansion and positioning of your property portfolio?

Our ambition is to operate in what is often described as the “blue ocean” of real estate, rather than competing directly with everyone else. We are guided by a strong conviction to develop products that we genuinely believe in, and that we believe others will value, supported by data and customer feedback.

We are also looking to venture into the hospitality industry. It remains within the broader real estate sphere, but represents a different kind of offering. Ultimately, the common thread across everything we do is a commitment to giving people a good home and genuine value for money.

That is why, when people ask whether we are a high-end developer, my answer is that we do not see ourselves that way. What we offer is value for money within the segment we operate in, and that distinction matters to us.

In relation to your hospitality vision, what specific direction are you pursuing, and how do you envision its growth?

In terms of hospitality, we are currently exploring opportunities in areas such as Gomoa and Senya Bereku, focusing on beachfront land.

The concept is to develop a small, carefully curated community of bespoke villas, positioned to take full advantage of the coastal setting. At this stage, we are assessing whether there is sufficient market appetite for that kind of offering in those locations. As with our residential developments, the focus would be on centrally managed units designed to serve investors.

I understand you are expanding beyond Accra. Could you elaborate on your geographic expansion strategy?

The decision to look beyond Accra was informed by a simple observation. Over the Easter holiday, I attempted to make bookings across a range of destinations, including Peduase, Ada and other coastal locations, and found that everything was fully booked. This indicates strong demand for leisure and hospitality offerings outside the city.

Developments such as The Till’s Beach Resort have also demonstrated that the beachfront model can be successful. The concept has effectively been proven.

Our objective, however, is not to replicate existing models, but to develop a differentiated product that offers strong value at an accessible price point.