The recent advocacy in different quarters to diversify the mono-cultural nature of the Nigerian economy to the direction of non-oil sector makes the discovery of other viable sectors that could generate sustainable economic growth becomes imperative in the recent time. Consequently, this study examined the relationship between real estate development and economic growth in Nigeria between the periods of 1981 and 2016 using Johansen cointegration test, DOLS and Granger causality approach. However, the results of this study show that real estate development has a non-significant positive relationship with economic growth in Nigeria. In addition, there is a unidirectional causality which runs from inflation rate to real estate development and economic growth in the country. Furthermore, based on the findings that emerged in this study, the Nigerian government should see real estate as a viable sector that the current mono-cultural nature of its economy could be diversified into since this sector has the capacity to propel the expansion of the country`s growth to a sustainable level if well explored and developed. Therefore, the policy makers in the country should embark on policy measures that will ensure a conducive climate for both local and foreign investors to thrive in this sector of the economy. Also, the federal government of Nigeria should not hesitate to address the unfriendly bureaucratic procedures, high cost of land registration and titling, uncoordinated policies and implementation at federal and state levels, ownership rights under the Land Use Act which could be inimical to the country`s global competitiveness of real estate sub sector.