How I lost money in my early days of real estate investing- Mrs Adefunke Adeyemi

Mrs Adefunke Adeyemi is the Regional Director for Member and External Relations of the International Air Transportation Association (IATA).  She was recently identified as one of the 200 Most Influential People of African Descent (MIPAD) globally in recognition of her achievements.

Adefunke advocates for the overall sustainability and growth of the industry as a whole, and is the intermediary between airlines, the wider aviation community and the general public. She is responsible for conceptualising and delivering an on-going campaign regarding the transformation of Africa’s socio-economic prospects through enhanced connectivity across the continent. She also heads the Women in Leadership initiative of IATA in Africa and the Middle East.

She shared how she almost gave up on real estate investment at the Blueprint conference 2018 which took place at Fourpoints by Sheraton. This article is an eye-opener to the things you should never overlook when going into real estate.

Check out her interview below;



NREH: Good day Madam

Mrs Adefunke: Good day

So where you are at the moment, Is it what you’ve always wanted to do?

Mrs Adefunke: No, my first love is law. I have always wanted to be a lawyer. It was something I wanted right from the scratch. I loved the idea of travel because I have a father who travels a lot and I kept wondering where he went to but I get fascinated with the gifts that come with the travels.

While working as a lawyer, I would save a lot just to travel during the court recess. So basically, the two loves of my life are travel and law.

How did you find yourself in the real estate circle?

Mrs Adefunke: I have always been a dreamer. I dream of a lot of things and one of those things is really nice houses but my real estate investment story started with failures. This is how my real estate failures translated into freedom.

After all my dreams, I ruled Lagos out of the states I want to invest in because it is a very treacherous place. I had heard a lot of stories of people selling one plot of land to 10 different persons. So it was never in my conscious mind that I would go into real estate in Lagos.

When I started working in Virgin Atlantic, I joined the cooperative as part of the employee package. While working, a lot of big companies were coming with interest in real estate. Then this particular company came and said they wanted to build an estate. The company I am talking about is Chevron today, but then the site was really bad. There was no long express way, everywhere was swamp. I left their proposal on my table for months.

In the process of all this, a friend of mine informed me that there is land for sale somewhere. It is an Omo-Onile land. We met the family members and did all the transactions. My friend who called me is a Lawyer, not forgeting the fact that I am also a lawyer, but we were duped.

The day I took my parents to see the land, we got there and the land had been sand filled but somewhere in my optimistic mind I felt someone sand filled the land for me.

Then we started going from one family house to the other but we were not able to retrieve it.

I borrowed money to buy that land. I had N200,000 and borrowed N200,000 from friends but I lost everything because we didn’t do the right things. I didn’t consult a developer or valuer.  Even though we were professionals in our own field, we should have informed the right set of people.

That was my first experience. The family made a lot of empty promises but that didn’t stop me because there was an appetite in me to own real estate.

After a few months, I gave it a try again. Even though in my sub-consciousness, I had warning signals but I did give it a try.

A friend introduced another land to me and we went to look at it. It was a proper swamp land after Chevron round about. I went ahead and paid the deposit. I had saved some money so I paid with that.

After some months, I started calling the guys, asking how far about the land. Luckily for me, one girl who works for them called me and said “you might want to take your money back” and I asked why?. She said the guys already ran into some financial problems and she is not sure they can finish the building. They had already started building but the construction was partly done.

Luckily for me, I was able to get some money back but still lost some more. This was strike two

Strike three came four years later. I call it ‘third time lucky’. By that time, I had closed my mind concerning real estate, investment and Lagos.  I was having a conversation with a friend who works in the bank. She told me about a land but I needed a lot of money to finance it. One of the things my father told me was, “don’t borrow money and if you must borrow, don’t borrow from a bank because they will always chase after you and you will never be free”. So I made up my mind that financing option from a bank was out of it. So I had a conversation with another friend that introduced me to mortgage. I had thought mortgage was non-functional in Nigeria. I wouldn’t have followed it up on my own but she sent someone to me.

Instead of asking me to invest, they gave me a property too. They looked for properties within their perimeters; they had done all due diligence, title and the other essentials. We started the process; I looked at several ones that were available. There was a slightly developed estate; someone had already done the work. It was a well-built estate, I picked that. It was a four bedroom house and the value was 31.5million naira, I was asked to pay the deposit of 20%.

I told them there was no way I could come up with the money. One of them then asked me if I had other source of income. That was when I remembered the cooperative I did while I was working with Virgin Atlantic. I had completely forgotten about it and even left Virgin Atlantic four years before that time. So the money plus interest and investment had all amounted to 4.1million naira out of 6million. I added the monies I had, spoke to my broker and I came up with the deposit.

That was my breakthrough. It became an investment property for me because i didn’t live in it, I rented it out.

That property became a source of income for me even when I had a family crisis. I was able to raise money from it. After two strikes, I finally had my breakthrough from it.

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Women Are More Affected By Land-Grabbing – Report

“Women in rural areas are more affected by the incidence of land-grabbing, a study has revealed.”- Leadership

This was unveiled during the conference of civil society organizations in collaboration with the department of agriculture and rural development of the Economic Community of West African States (ECOWAS) in Abuja from February 15 through 16, 2017.

The research was conducted over a three-year period, via a participatory action research project on the impacts and the responses to land-grabbing.

Since October 2014, FAN international Germany together with four African CSOs (National Coordinate of Peasant Organisations Mail and the Malian Convergence against land-grabbing (CNOP-CMAT), Environmental Right Action ERA/Friends of the earth Nigeria, Katosi Women Development Trust (KWDT) Uganda, Masifundise Development Trust (MDT) South Africa ), two academic research institutions (ISS-The Netherlands) have been inquiring into the conditions under which the CFS/FAO guidelines on the responsible governance of tenure of land, fisheries and forests can serve to increase bottom up accountability amidst the pressures of the global rush for the land which is rapidly changing the use of land and water from small-scale, labor-intensive uses like peasant farming for household consumption and local markets, toward large-scale, capital-intensive uses such as industrial monocultures linked to metropolitan areas and foreign markets. The project has been funded by the international development research center, government of Canada (IDRC)
During the three years of the participatory action research, CNOP-CMAT Mali and ERA/FoE-Nigeria were able to successfully anchor their community organizing actions and reflections on the tenure guidelines to hold local officials and transnational companies accountable in large scale land Acquisition (LSLA) deals.

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LAGOS: Study supports bid to acquire abandoned properties

A study by Forest Service’s Northern Research Station, University of Pennsylvania and Yale School of Public Health, United States America has said the move by the immediate past Lagos State Government to acquire all abandoned properties in the state was in good direction.

Reason? Abandoned properties acquired by the government and improved upon could be a major way to reduce crime rate in the state and in all urban cities in the country.

As far back as 2012, Lagos officials, including the state legislature had one time or the other, decried the spate of abandoned properties in the city, becoming havens for criminals. This tendency was not limited to Lagos, but to some other urban centres, where industrial activities have stimulated rural-urban migration.

But according to the group’s report on the effects of abandoned building remediation on changes in surrounding crime, it was found that low-cost improvements such as new windows and doors may be effective in deterring criminal activity.

The study, titled: “Vacant and abandoned buildings pose significant challenges to the health and safety of communities,” said Michael T. Rains, Director of the Forest Service’s Northern Research Station and the Forest Products Laboratory.

Forest Service research is examining all aspects of the urban ecosystem and developing knowledge and tools that cities can use to promote health and sustainability.

Enacted in 2011, the Doors and Windows Ordinance requires landowners to have functional doors and windows on abandoned buildings located on blocks that are more than 80 percent occupied unless they have applied for a renovation permit for improvements beyond replacing windows and doors.

Researchers compared differences in incidents of crime for buildings that were either improved through the ordinance or were permitted for renovation with incidents of crime at randomly matched control buildings that were not remediated or permitted for renovation.

In areas around buildings in which functional doors and windows were installed, there were an estimated eight fewer assaults, 10 fewer gun assaults and five fewer nuisance crimes over a 2-year period.

“Citywide, we found significant reductions in total crimes, assaults, gun assaults, robberies and nuisance crimes associated with ordinance compliance,” said Michelle Kondo, a research hydrologist with the Northern Research Station’s Philadelphia Field Station. “This could be the ‘broken windows theory’ in action, with new doors and windows and a newly cleaned building facade signaling to potential offenders that a property is occupied and crime is not tolerated.”

Although, they agreed that additional research is needed to determine whether other factors may have influenced the decrease in crime around abandoned buildings. The Doors and Windows Ordinance applies only to buildings on blocks that are 80 percent occupied; the effect of installing functional doors and windows may be less in location has less human occupation.

Geographical variation in policing practices, which change over time, may also influence crime occurrences.

The Lagos State House of Assembly, three years ago, called on the executive arm of the government to take over ownership of all abandoned properties in the state within one month if owners of such properties do not act.

Such properties include abandoned houses, personal effects and even vehicles.

The lawmakers asked the government to serve letters of intent to confiscate the properties to their owners after which such properties would be taken over for public use.

The resolution was made after some of them raised alarm over the rising criminal activities in the state with the lawmakers noting that most of these criminals, miscreants and hoodlums use such abandoned properties as their hideout.

The then Chief Whip of the House, Dr. Rasaq Balogun, who was the prime mover of the motion under Matter of Urgent Public Importance, expressed dismay over the dangerous security threat such properties are causing residents of the state.

The lawmaker listed some properties located at Adetola Street, Coker Gaud in Surulere, abandoned Federal Secretariat complex, Ikoyi, several others as a place where action was needed, saying that unoccupied properties were causing serious security problems in those areas, adding “miscreants have been using the building as an avenue to smoke Indian hemp and carry out nefarious activities.”

READ ALSO – 5 Mysteriously Abandoned Mansions

Lawmakers who contributed to the issue were of the opinion that penalties should not only be awarded against abandonment of properties and their offenders but also that neglected vehicles should also be evacuated from the streets of Lagos.

Lawmakers reminded the House that it took the State government serious effort to pull down the Bobby Benson edifice at Onipanu area of the state, which had been abandoned for several years.

At the wake of this apprehension, the executive arm of government, represented by the Ministry for Physical Planning and Urban Development, took up the challenge by coming out to announce that all abandoned properties within the landmass of Lagos State may be taken over by the state government, a step to forestall security threats milling round the metropolis.

The immediate past Commissioner in charge of the ministry, Mr. Olutoyin Ayinde, a Town Planner, during the inspection tour to assess the distressed and properties that are perceived as contravening government regulations at that time, said such places often become a haven for miscreants, armed robbers, destitute and sometimes traders who endanger their lives in the face of building collapse.

According to Ayinde, the state government in its continued effort to keep Lagos safe is set to seize and demolish such structures especially those that have been abandoned for up to five years. Apart from such structures being used by criminals and destitute, government is always mindful of the dangers inherent in building collapses, thus, not ready to give room for such unfortunate development.

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Vacant homes, yet homeless Nigerians

The rising cost of renting houses in thriving Nigerian cities of Lagos, Port Harcourt and Abuja, which goes beyond the reach of potential tenants stretches the number of homeless people beyond borders.

This development is worrisome in view of the huge housing deficit in Nigeria. Yet there is an increasing number of vacant homes; buildings that should have families albeit unoccupied in major cities across the country.

This ugly trend has become more rampant especially in high brow and middle brow areas of the cities. Other pointers to this malady are high cost of building materials, land, lack of infrastructural facilities, inability to access fund, among others

According to reports, annual house rents range from N500,000 to N1 million for 2/3 bedroom flats in places like FESTAC, Surulere and other middle income areas of Lagos, we are not even talking about the high brow areas yet.

The landlords appear greedier in Abuja as it costs between N2.5 million and N3 million to rent a two-bed bungalow in high brow areas such as Maitama, Asokoro, Wuse and Garki, while it costs between N400,000 and N700,000 to rent a two-bed room apartment in the satellite towns such as Kubwa, Lugbe and Karu areas per annum.

It’s a separate ball game in the oil-rich garden city of Port Harcourt, where one-bedroom flat costs N250, 000 to N350, 000 per annum, depending on the location. Also, a two-bedroom flat goes for between N400,000 and N650, 000 per annum, while a three-bedroom flat and four-bedroom bungalow cost between N800, 000 and N1.3 million per annum, respectively.

How much does the average civil servant earn in Nigeria that would ensure that such prices are met? Is the fee demanded by the landlords astronomical? Or is it that the standard of living of an average Nigerian is relatively low?

Regardless of the questions raised above, it still doesn’t change the fact that economic hardship and poverty in the country is on the loose.

If a worker ought not spend more than 30 percent of his/her income on rent according to UN standard then a situation where a Nigerian civil servant pays 60 percent of his income on house is near-suicidal. It sure has a spiral effect. His general well being as well as his psyche will be on the line.

By the time you spend more than 30 percent of your earnings on rents, it simply means the houses are not affordable.

Little wonder we have lots of beautiful buildings that have been completed but with no life because of the exorbitant prices they are tagged, either for rent or sale.

Analysts believe that lack of property tax regime is partly responsible for the increasing cases of unoccupied buildings littering the cities. They posited that property tax will provide a check on greedy property owners and alleviate the sufferings of tenants who can’t afford the high cost of accommodation being demanded.

A way out of this could be the imposition of special taxes on properties that are vacant for years. This could force owners of such properties to reduce the cost of rent to attract prospective tenants.

It is sheer insensitivity for a landlord to lock a house for years just because the masses can’t afford the rent price. What happened to reducing rent to alleviate the plights of the average Nigerian? They don’t stand to lose anything anyways, after all the houses are owned by very wealthy people or stand unaffected even if no one pays to live in their properties for years untold.

However, if they are made to pay government such taxes for abandoning their buildings, it could be used as a veritable tool to put pressure on them to rent out the houses. And if they still prefer to pay such taxes even if it will be on the high side then their attitude would have shifted from sheer insensitivity to cruelty.

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Why Building Projects Are Abandoned In Nigeria

In today’s Nigeria, the landscape is littered with abandoned building projects, roads, rails, ports and other infrastructural projects at all levels of governance from local government through the state government to the federal territory.
It is quite unfortunate that many of building and infrastructural projects in Nigeria are out-rightly abandoned even at conception.

When we talk of abandonment, we mean to say buildings or projects that are left unoccupied, vandalized, boarded-up or deteriorated.

“Abandonment” can also mean an owner ceasing to provide maintenance and operating services to a building, or the loss of an owner’s legal right to a building, or the demolition of same.”

An abandoned construction project can also be an uncompleted project in a time frame of a contract. Hence, there is urgent need to look inward and examine critical factors militating against project completion and occupation in accordance with its conception.

Abandoned building projects may not be limited to buildings alone; roads,industrial structures, bridges, factories, dams, electricity, communication projects and so on are equally on the list.

Some reasons for failed construction projects are: incorrect estimation; lack of available skilled personnel; inadequate planning; poor risk management; misunderstanding of the work requirement; poor quality control by regulatory agencies; corruption and communication gap among the personnel.

Other factors are cost; the developer and the contractors; inability of clients to engage contractors or designers capability to do the work; failure on the part of contractors to obtain vital inputs such as materials, manpower and machines. The ripple effect of all of the aforementioned is that all activities becomes totally suspended and the project consequently becomes abandoned.

Invariably, in the true sense of it, a project is never considered abandoned, rather the project must have been suspended as a result of the proprietor lacking funds to continue in the main time.

Inconsistent government policies, lack of accountability, high level of corruption, incompetent contractors, non-availability of building materials, lack of utilities or infrastructural facilities, wrong location and so on has been advanced as remote causes of abandonment of building project

The above reasons invariably lead to waste of resources in the form of capital, materials, human power, promotion of illegal activities, adverse effect on community, aesthetics and so on; the menace abandoned building projects cause to the society is enormous

Hence, there is a need for construction firms to inculcate operational, strategic, personal, technological, marketing and environmental strategies in order to cushion the effect of financial predicament associated with building projects

It is indeed pathetic that several construction projects which would have impacted positively on the economic and overall social development of the nation litters the corners and open spaces of the country. This significantly affects the housing area by reducing its beauty in addition to creation of social problems, spread of disease and threat to the environment as highlighted earlier.

In view of these, the following recommendations have been put forward by industry professionals to possibly put a stop to this ugly trend;

1. Only new projects which can be completed with the available resources should be initiated.
2. The selection processes and consultancy should be characterized by accountability, transparency, honesty and integrity.
3. The use of political undertone rather than economic advantage in citting of projects should be discouraged.
4. Corruption at the level of Government and other stakeholders in the housing sector should be curbed through Due process, Economic and Financial Crime Control (EFCC), Budget Monitoring and Price Intelligence Unit (BMPIU) and other Crime Control Agencies.
5. The need to set up a National Construction Industrial Bank is overdue.

With this in place and well executed, the incidence of abandoned projects littering our entire landscape will be a thing of the past.

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Why I Would Constantly Be In Love With Real Estate – Real Estate Practitioner

It’s that time of the year when love is consciously renewed and engraved in our hearts. It’s Valentine’s day again and everyone is either proclaiming their love for another or rediscovering new ways to love. The day when the skies suddenly turn red and the earth becomes an arena of unspeakable romance.

The various hangout spots and fun zones becomes a bee-hive of activities, with a mass inflow of people who suddenly come to realise there is such word called love, in view of the abnormalities in the polity.

Whether it’s a glass of wine, pizza from Dominos, a pint of ice cream or even Iya Shukura’s Amala and gbegiri soup, Valentine never fails to get recognition. Funny looking colours of clothes adorned by teenagers and youths alike who don’t have an idea of what it means to love obstructs our eyes on this day. It’s all about love right?

Despite the aforementioned, one basic rule stands, we can’t help who we fall in love with and the ones who eventually fall for us. The latter can be agonizing. But would it be right to say as a real estate practitioner with a relationship that has spanned for three years that I really don’t know why I have mad love for real estate?

Yeah! Just like we fall in love with that special someone atimes for no reason, so is it applicable with this profession I delved into at a time when the struggle was real. I may have ventured into real estate to solve immediate hunger needs, albiet after a couple of months, I realised the real estate sector actually sits on a goldmine.

Though, I sometimes can’t explain the love I have for real estate, I do have some inkling as to why the bond between us is unbreakable. Truth be told, as a real estate practitioner or agent, there are a couple of key reasons why you just have to love your profession.

One of such reasons is the PEOPLE I work with on a daily basis. You know when your work environment is like a home, you won’t have any cause not to love your job. As a matter of fact, as a real estate agent you just have to enjoy working with people. I enjoy a smooth working relationship with my colleagues and even my boss. And not even the pressure of work can deter you

It would be dishonest to say that it always goes smoothly, but the relationships and interactions are a huge part of the overall experience, and allow you to connect with people in a way you don’t get to in many other careers.

Another thing is that, in a typical real estate work setting, no two days are ever the same. There is a new journey to embark on every day that could lead to closed deal or a trip to somewhere quiet  where you can clear your head and think of better and more improved ways to pitch

Going down memory lane, when I first branched into the real estate sector, I had no atom of love for it. So I can rightly say here that my love for real estate was a race through time and a progressive one at that.

While we may convince ourselves that we hate prospecting or showing up to appointments that go nowhere, it’s those very things that make us appreciate our successes that much more. The pursuit, the hopes and dreams of success, the sweat you have to put in to make things happen — all of these are the ingredients for a successful real estate career, and we appreciate the work more than we are willing to admit.

Real estate requires that you meet people of varying background on a daily basis and in different capacities. It also has its fair share of solitude, and is, at its core, an independent profession. Nothing will happen unless you make it happen yourself, so if you’re an independent-minded person who enjoys being out on your own, not only will you be successful but you’ll also fall in love with the feeling of getting in your car and creating your own destiny.

Despite the lows that comes on the job just like it happens in relationships, the good moments can be overwhelming. If you’ve never experienced the joy of a signed contract, or a clear to close, then you have no clue just how energized and happy a signature or a few words can make you feel. Any doubts about the profession can be immediately wiped out, and you can fall in love with real estate all over again,after you get to celebrate one of your triumphs with a bottle of Red label, Moet or Hennesy. You can just find yourself dancing shaku shaku even if you are that person who can’t dance to save his or her life

They say that if you do something you love, then you’ll never work another day in your life. Well that’s not exactly true, you’ll still have to work, but it will feel different.

In real estate, even though you’re helping other people buy and sell houses and land, it still feels like something that’s yours. And because it’s yours, you will care. And because you care, you will appreciate it in a way that’s different than almost any other job you could possibly have, which is all the more reason to fall in love with it.

I may not necessarily be in a relationship with an opposite sex, when I think of valentine I remember my career; I fall in love with real estate every day and today is no different.

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The importance of infrastructure in developing estates

The issue of infrastructure in developing estates across the nation is a lingering one between developers and their customers; they both seem to have different understanding to the notion as they both see it from different ends. This article however delves into the importance of having infrastructure in place in developing estates, its resultant benefit for occupants and land owners in the estate, as well as the impact it has on the environment. 

As we look at the issue of Infrastructure in developing estates, let’s quickly make a mental note that in a bid to solve the housing problem in Nigeria, government and real estate practitioners are building housing units and estates that are termed ‘mass housing’ and referred to as affordable.

Whether they are truly for the masses, the affordablity and real essence of these housing units has often times been questioned since these housing units are very expensive and way above the pay grade of the common man. However, that is not to say there are no real estate developers who truly help the common man achieve his dream of being a home owner.

An example is Realty Point Limited who has had considerable success over the years in helping people with middle to low income become landlords. The need to curb the housing deficit issue and make more people property owners has given rise to a lot of developing estates in the country.

Developing estates in various communities and areas are good ways of controlling most of the major issues experienced in developed cities or towns such as overpopulation, traffic congestion, lack of adequate space etc. The creation of new communities and estates is therefore a welcome idea since it would depopulate and reduce traffic congestion characteristic of the cities, ease the strain on basic amenities, and create other ripple effects.

Unfortunately, response to these developing estates is poor. People are not eager to live, work or own businesses in these communities because of one major issue – lack of infrastructure – thus defeating the purpose for which these communities were created in the first place.

Infrastructure, which is the basic physical and organizational structure needed for the operation of a society or the services and facilities required for an economy to function, is a major determinant of real estate investment. When technical structures such as good roads, electrical grids, drainages, sewers, bridges, telecommunication, water supply etc are not readily available in a community or estate, people are not quick to invest in properties in such areas thus affecting returns on investment for the estate developer.

Unfortunately, investment returns is not the only thing affected, the economy also suffers. This is because infrastructure facilitates the production and distribution of goods and services necessary for the sustenance and enhancement of life. When good and adequate infrastructure is not in place, living conditions are harsh, thus reducing people’s level of productivity, businesses can’t thrive or function optimally and in turn, such areas can’t grow or develop. This puts a strain on the infrastructure and amenities of developed areas due to overpopulation and in effect, you have a country that is not robust all round because only few cities are developed.

According to a survey conducted January 2014 by the Urban Land Institute, which reflects the opinions of 241 public sector officials and 202 senior-level real estate executives (developers, investors, lenders, and advisers) based in large and medium-sized cities across the globe with concentration in the United States, Europe, and the Asia Pacific region, the quality of infrastructure systems—including transportation, utilities, and telecommunications—is the most important factor influencing real estate investment and development decisions in cities around the world.

This buttresses the fact that infrastructure is important and necessary for developing areas, and in a country like Nigeria where the provision of basic infrastructure is still an issue even in metropolitan areas, the government obviously has a lot of catching up to do. If the housing deficit is to be curbed and the real estate sector maximized, the government must take infrastructural development in budding estates seriously to encourage residential and commercial living in these areas while decongesting the populous metropolitans.

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How Cooperative Societies Started In Nigeria

A lot of questions have been asked about how Cooperative Societies started in Nigeria, and based on my experience of running cooperative societies successfully for many years till date, I wrote this series of articles to share information on it with you, my esteemed visitor.
This article will enlighten you on how cooperative societies in Nigeria started.

According to the International Cooperative Alliance (ICA), it’s an autonomous association of persons united voluntarily to meet their economic, social and cultural needs and aspirations, through jointly owned and democratically controlled enterprise.

Cooperative in spirit and practices has been in Nigeria before the advent of modern cooperatives.

Modern Cooperative
Modern co-operative movement began in England in 1844 in the days of industrial revolution.

It was borne out of human suffering and degradation at a time when workers all over Europe lived in great misery.

It was in this year that the first recognized cooperative society (Rochdale Equitable Pioneers) was registered.

It was in the year 1884 by a group of 28 factory workers in Manchester, United Kingdom.

Traditional Cooperative
Traditional society institutions commonly known in English as the “contribution society” but variously termed “Adashi” by the Hausas, “Dashi” by the Nupes, “Asun” by the Ishans, “Osusu” by the Ogojas, “Ajo” by the Yorubas, and “Isusu” or “Etoto” by the Ibos and Ibiobios are ageless institutions which are our own versions of the cooperative thrift and credit societies.

Origin Of Modern Cooperative Societies In Nigeria 
Mr C.F. Strickland was appointed by the British Government in 1933 to head a panel which was given terms of reference thus: “To study in details the culture of the people, and the geographical and economic conditions of the country with a view to recommending the types of cooperatives most suited to Nigerians.”

The findings of the panel and its recommendations had resulted in the cooperative society’s ordinance of 1935 resulting in subsequent establishment of cooperative societies of all types.

Introduction of Prime Asset Housing Cooperative Multi-purpose Society Limited
For better understanding of how it can benefit you, as a case study, I am introducing you to Prime Asset Housing Cooperative Multi-purpose Society Limited (www.primecooperative.org).

It’s a project initiated by Realty Point Limited and registered with the Ministry of Agric and Cooperative, Lagos State and runs independently of the company.

The objective is to help members buy land, own a house, invest profitably in real estate and other opportunities.

The society offer entrepreneurial and other life enhancing training to members at their monthly meetings.

Also providing landed properties for members at affordable price and opportunities to borrow for growth of their individual business operation.

Finally, also investing members’ monthly contributions regularly and sharing 50% of surplus annually as dividend.

Partners
For optimal delivery of services to their members, they partner with reputable individuals & organizations particularly:

• Banks & other Finance outfits.
• Developers
• Mortgage Institutions
• Building material manufacturers and supplier
• Professionals in the building industry
• Related government establishments and agencies.

Cooperative Membership Fee
Each intending member of the cooperative is expected to pay a one –time non-refundable as membership fee.

This is to be used to fund the administrative activities of the co-operative society.

Annual accounts are subject to external audit of both Government Supervisory Authorities and Private Self-appointed External Auditors.

Currently, the co-operative is involved in housing provision, credit issuance (for business or personal uses), savings and other investments for the benefits of members and pre-qualified non-members.

Debo Adejana, is the chief executive officer of Realty Point Limited. The company which is primarily involved on the supply side of the real estate industry, with a strong presence in Real Estate Development, Investment, Training/Consultancy.

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TOP 10 HOTTEST LOCATIONS IN LAGOS

As tiny as Lagos appears in terms of landmass, it has remained the most promising habitation and business hub for many Nigerians of diverse tongues. If owning a house or a land in Lagos does not form the core of the dreams of the average man who resides in Lagos then probably that person is no Lagosian to begin with. However not any place or location should be longed for. Though some would say that they won’t mind owning a house in any location asides the choice locations as long as its in Lagos because the more choosy you get translates to more expenses.

Nonetheless, dreamers can decide on what they want to dream about; it’s all in the mind. Once you have full control over your mind, you can aim for the moon; be sure to land somewhere among the stars even if you miss.

There are parts of Lagos one would naturally want to acquire landed properties even if it’s just in your imagination. Places that will improve your lifestyle and speak volumes about your status in the society.

Below is a compilation of places to live in a tiny city with huge investments and opportunities; call it, 10 HOTTEST LOCATIONS IN LAGOS:

10. Yaba/Akoka and environs:  Akoka, jewel of Yaba has been home to one of naija’s foremost Universities, University of Lagos (UNILAG), an institution once rumoured to be renamed after the acclaimed winner of the June 12, 1993 presidential election annulled by the then Military Government of Nigeria. Moshood Abiola University, Lagos (MAULAG), (the controversial name Ex-President Jonathan was going to rename UNILAG before he rescinded his decision after facing widespread criticism) and Yaba College of Technology are two institutions that has made Yaba/Akoka the synosure of all youthful eyes in Lasgidi. The area offers a fine blend of commercial and residential properties and is quite accessible from most part of Lagos state. There are also a number of exciting spots in this location which includes; An E-centre and the popular Ozone cinemas in commercial avenue, Yaba.


9. Surulere and Environs: “Awon temi ni Surulere”…Yes boss!

I duff my hat for this evergreen area of Lagos. Surulere is the official headquarters of the Nigerian Film Industry popularly called Nollywood. Surulere may be thriving on lost glory albeit it still remains the people’s delight. If for nothing at all, the numerous malls along Adeniran Ogunsanya road brings Surulere to reckoning as far as Lasgidi is concerned. Shoprite and Leisure mall home to “The Genesis Deluxe cinemas” are some of the fun spots you can’t miss in Surulere. Not forgetting the famous National stadium and Teslim Balogun stadium. Infact Surulere is the sports centre of the city.

Again, awon temi ni Surulere”….Yes boss!


8. Apapa GRA and environs: OMG! I can’t believe Apapa actually made this list. Due to the fact that there is a sea port in this area there has been a terrible trend of gridlock and traffic congestion that has become a nightmare for motorist and Lagosians who have to ply that route daily. However Apapa still commands my respect due to the fact that it has one of the highest prices on properties, both commercial and residential. A lot of ‘old money’ dwells there, and they have their fair share of foreigners too. In fact in the past, Apapa was known for the influx of expatriates, surely it isn’t what it used to be but ‘Apapa still full ground remain’


7. Ajah/Lekki 2 and environs: Once relatively unknown, Ajah has really come of age in terms of development. More so, its proximity to the business flash-point of Victoria Island and Lagos Island has had a positive impact on its development. Also the addition of exquisite estates around the place is also a plus for Ajah however there are some evidence of shanties in the area. That noted, it doesn’t change the fact that Ajah is a sprawling area and an investors delight. Though the Traffic in this area can be depressing and may want to make you regret your decision but trust me there are worst places in Lagos. The place seats around a goldmine but you would only want an Ajah when you can’t afford a Lekki…Gbam!


6. Oniru Estate/ Lekki 1: Very few places in the continent of Africa have attracted as much real estate development as this axis of opulence. But a major downside is that this place like many nice places in Lagos is overpriced, the prices of properties are artificial. However I will be bias not to put it on this list.

5. Victoria island: Victoria Island has become the preferred location for big businesses to site their corporate headquarters displacing Lagos Island from this position. Everyone seems to want to have an office here. Landlords are usually at cloud nine while they lease out their properties to companies. You can be living in V.I and your next door neighbour is a Bank. This phenomenon is a source of worry to many residents. That notwithstanding, V.I is still a real estate hot spot.

4.Magodo G.R.A./ Omole Estates: If you are looking for a queit place with less traffic except in extra-ordinary circumstances like when a neighbor is having a party; a place that is very much residential with less commercial activity, then ‘MAGODO G.R.A. PHASE 2 (SHANGISA)’ is your best bet. Located just on the other side of Alausa secretariat with the nearby Omole Estate 1& 2, MKO Abiola Gardens, these places have come to define a visitor’s first impression of Lagos as they enter through the Lagos-Ibadan Expressway.

3.Ikeja G.R.A. and Environs : Beautiful is the word that describes Ikeja G.R.A. It is by far the most popular G.R.A. in the city. Its location plus nearness to the Ikeja CBD and the presence of other exciting location like Maryland, Opebi, Allen, ilupeju and the busiest Airport in the country, Muritala Muhammed International Airport not forgetting the seat of power,Alausa. All of these put together makes Ikeja G.R.A a prime location to build that dream home.

                         “Ikeja! Your head dey there”


2. Ikoyi: From being the headquarters of our then colonial watch dogs to a magnificent enclave for the high and mighty in the society, that you are wealthy doesn’t guaranty that you will own a property in Ikoyi. After so many of its original swampy lands have been sand-filled and developed into prime lands more than doubling its size, ikoyi continues to attract the elites that want to be distinct. There should be question marks to the source of your wealth to own a worthy property in Ikoyi. Ikoyi has some of the most opulent residential facilities in Nigeria, and is thought to have the most expensive real estate on the entire African continent, with the average new apartment selling for N230 million (around US$1 million). However, due to the limited available land, many of these are vertical apartment buildings.

Ikoyi includes the newer suburbs of Banana Island, Parkview Estate, Dolphin Estate and other luxurious blocks of flats that are springing up.

1. Banana Island: I couldn’t help but to put this Island on my list even if it is a part of Ikoyi. Your jaws will drop when you visit this place for the first time and it may take you hours to recover. A man once missed out on owning an apartment in Banana Island and all he could say to console himself was; Vanity upon vanity all is vanity. Of course what else would he have said? If he had gotten the house would he have remembered that such a phrase existed. Banana Island is an exclusive playground of Nigeria’s obscenely wealthy. It is reported to be arguably Nigeria’s most expensive neighborhood – at par with the Seventh Arrondissement in Paris, La Jolla in San Diego, California and Tokyo’s Shibuya or Roppongi neighbourhoods.

                          “Aiye pari si Banana Island”


I could swear Banana Island is the end of the world or why else are buildings there the most expensive piece of real estate in Nigeria? After taking a trip to Banana Island…anytime you hear anyone say; money is not everything, you may be forced to hand the person a massive slap across his face to the extent that he will be seeing stars afterwards.

Looking for a place to enjoy your retirement? Banana Island is that place. The best Island to say your last prayers and spend your last days, little wonder it is undeniably the number 1 on our list.

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A Brief History of Urbanisation In Nigeria

Urbanisation is an unavoidable global trend that has held sway since time immemorial. The situation is so intimidating that many governments are usually in a fix as to how to tackle its excesses. This article goes down memory lane in an attempt to explain how urbanisation started in Nigeria to the point we are now.

Available data on urbanisation in Nigeria is largely conflicting. UN-Habitat and the World Bank are the most frequently cited sources of urban population statistics. However, their data are sometimes misleading and appear exaggerated.

In Nigeria, virtually every census since 1952 has been highly contested. This is perhaps due to both political and economic reasons. Economically, federal statutory allocation to states is influenced by their population. Thus states with reportedly low populations are disadvantaged in resource allocation from the federal level.

Politically, in the democratic setting politics is a game of numbers and political parties controlling large population can be at an advantage. Population is also one of the indices upon which parliamentary representation is based. Despite the controversies, available data give sufficient indications of Nigeria‟s urban status

Long before the British colonial administration in Nigeria, there were already in existence fairly large human settlements . These were mainly driven by trade (including slave trade) and administration. However, pre-independence Nigeria had a very low urban population as well as urban population growth.

As at 1921, only ten Nigerian settlements had urban status and by 1931 only two cities, Lagos and Ibadan had populations in excess of a hundred thousand people each. Post-independence Nigeria witnessed more rapid rate of urbanization.

Nigeria since independence has become an increasingly urbanised and urban-oriented society. By the early 1960s the cities of Lagos and Ibadan had populations in excess of half a million people each.

In addition, there were twenty four cities with populations of not less than a hundred thousand people. However, it was not until the period between 1970 and 1995 that Nigeria witnessed an unprecedented high level of urbanisation reputedly the fastest urbanisation growth rate in the world at the time. By 1991, Nigeria was reportedly 37% urbanised.

The rapid growth rate of urban population in Nigeria was spurred by the oil boom prosperity of the 1970s and resultant massive development projects in the country which catalysed a great influx of people into urban areas.

The factors responsible for the high urbanisation in Nigeria was as follows:

The oil boom of the 1970s and early 1980s;
Government policies which resulted in the creation of new states and local government areas;
Creation of a new federal capital territory in Abuja;
Establishment of new universities; and
Large scale government sponsored construction projects including sea ports, refineries and steel companies.
In 1990 there were twenty-one state capitals in Nigeria, with estimated populations of at least 100,000 inhabitants each which were projected to double every fifteen years (U.S. Library of Congress, 2013). According to statistics 43.5% of the Nigeria people lived in urban areas as at 2000. Now we have approximately 50% of our population living in urban cities with predictions that the urban population will hit the 65% mark by the year 2020.

Like what obtains in other developing countries, rapid urban growth in Nigeria has outpaced capacity of government to plan for it. Often, growth occurs so quickly that government officials do not have relevant statistics needed for sustainable development.

Another constraint has been dwindling national resources which have further been depleted by massive and uncontrolled corruption. Consequently development is meager, insufficient and not associated with the commensurate economic growth and effective redistributive measures required to alleviate poverty and create economic opportunities needed to improve living standards and quality of life of the people.

A crucial aspect of this is that city growth and expansion in Nigeria has been largely uncontrolled thus compounding problems in Nigerian. These problems include inadequate and poor housing; slum areas; inadequate water supply; waste disposal; traffic and human congestion; high rates of unemployment and underdevelopment; poverty; crime and other social problems.

Although studies have shown that the problem of housing is universal, it is more critical in developing countries like Nigeria because of its magnitude and lack of resources to tackle it. About 60-70% of Nigerian urban dwellers live in slums. Nigeria is highly vulnerable to the impact of climate change. Virtually every Nigerian city is vulnerable to natural or man-made disasters. The poor however have greater difficulties recovering from disasters.

In August 1988 for instance, 142 people died, 18,000 houses were destroyed and 14,000 farms were swept away when the Bagauda Dam collapsed following a flash flood. Urban flooding occur in towns located on flat or low lying terrain especially where little or no provision has been made for surface drainage, or where existing drainage has been blocked with waste, refuse and eroded soil sediments.

Extensive flooding is a phenomenon of every rainy session in Lagos and other cities and does pose a threat to prime property areas. In late 2012, many parts of Nigeria experienced an unprecedented mass flooding which reportedly destroyed several lives and properties including farm lands and livestock.

Nigeria‟s socio-economic and environmental indicators show very poor performance across the board. Poverty is an acute problem in Nigeria. Nigeria has one of the highest poverty rates in sub-Saharan Africa with 70% of her population below poverty line, which is the sixth highest in the world. The country also has probably the third largest number of poor in the world, after China and India.

Although at 3%, extreme poverty was virtually non-existent in Nigeria‟s urban areas in 1980, by 1996 about one quarter of the urban population was poor. Urban poverty levels increased from 28% in 1980 to 66% in 1996. In 2000 the maternal mortality rate in Nigeria was estimated at 800 deaths per 100,000 live births. Life expectancy is the most common indicator of health conditions in a country.

In addition, May 2016 life expectancy data published by the World Health Organisation (WHO) has shown that Nigeria, again, has one of the lowest life expectancy ratio in Africa and in the world; with 55 years for females and 54 years for males, standing at the 177th position, just above eight other countries of the world.

Lagos remains the most urbanised city in Nigeria with a population of over 21 million people. The city is also the fastest growing city in Africa.

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How To Buy Land In Nigeria

Searching for land to buy in Nigeria is not a walk in the park especially when the buyer is new to property transactions.  In view of this, the first thing that should come to mind when you want to buy land is the issue of finance.

Although finance is the major fuel that drives the intent to acquire land, you still have a couple of hurdles to cross to make your property ownership dream a reality. One of such is doing your due diligence. This is a very essential part where you do proper search and verification

In fact, having finance to buy a piece of land in Nigeria without doing your due diligence is like crossing a busy road blindfolded.

Thus, my ‘Number 1’ real estate investment rule; ‘Never wave your due diligence’:

The people I find most interesting to sell to are those who ask lots of questions while I am making my sales pitch. This is because the person will have me take full cognizance and responsibility of those questions asked, because I know I will be held accountable for it.

I really don’t like those who go into a purchase with sentiments. People who say; “I don’t need to ask too many questions; after all we are friends. You can’t dupe me”.

Yes, I am not planning to dupe anybody but I appreciate people who will go through stuff like “Terms & Conditions” ask me all the questions they can think of and be sure they by themselves know and understand what they are getting into.

I cannot and do not intend to dupe anyone but still I can’t break your medulla open and stuff it with what you should know about what you are buying if you refuse to read!

I have come to realize that most times, this type of buyer is running away from taking responsibility for his/her purchase. They are the people that will return after the transaction has been closed or following some other development to start asking questions and make it seem as if you forced the purchase on them.

Irresponsibility carries a huge cost nobody pays with a smiling face, so avoid it like a plague.

There is no one who really wants to do a thing without counting the cost. It is in counting the cost that you do due diligence. Don’t do it after you pay, do it before you part with a dime of your money, no matter who you are investing with.

So in doing your due diligence, do the following;

1. Discountenance the document you are given about any landed property and do your due diligence from ground zero. By ground zero, I mean, go to the site you are to buy to pick co-ordinates. If you do not know what that is about, you may want to visit the site with a competent Land Surveyor to pick the coordinates for you.

Chart the Coordinates at the State’s Surveyor General Office to know the status of the land. It is only after doing this, if the land comes out clean and the coordinates you picked matches with what’s on the documents you are given that you can start relying on the survey document as referring to the same land you were offered to buy. Otherwise, run!

According to the 1978 Land use act of the Federal republic of Nigeria, land in all parts of the country is held in trust for the people by the Government. As stated in section one of the land use act:

“Subject to the provisions of this Act, all lands comprised in the territory of each State in the Federation are vested in the Governor of the state and all such lands shall be held in trust and administered for the use and common benefit of all Nigerians in accordance with the provision of the Act.”

Using the example of Lagos State, A landed property can be in one of these following 4 states, status wise:

Acquired land: we have specific or committed acquisition and general acquisition. My blanket advice is, do not touch land under specific or committed acquisition if a private individual is the person offering to you. Government has a clear purpose for this and except you are involved in the actualisation of the purpose, you do not want to risk your hard earned money on this.
If the land is under general acquisition and there is any serious indication that it can be processed for excision, then you can confirm that but do not part with money until you are sure it is excised. That leads me to the second status.

Excised Land: this is when a land was previously acquired for overriding public interest but later released, that is excised either in part or whole to the original customary owner. There are documents and correspondences between Government and the customary land owning family to substantiate the excision in terms of size, actually location and title. Layout plan was added as part of what should attend such excision by the Government of Babatunde Raji Fashola.
You can buy excised land that has supporting document to confirm the excision.

Acquired but ratifiable: this is when a land was previously acquired for general or specific use but Government has had a change of mind for whatever reason to allow part or the whole land to be used by private individuals. This is usually as a result of heavy encroachment, politics, etc
It is what people call buying twice. Reason is, you will pay the land owner, customary or whoever currently holds possession at the time of your purchase and still pay the relevant department of government for the ratification before you can get title on the land.

Freehold land: this is when a land is free from any known encumbrance and can be transacted on without fear. For such land, you only need to be sure you are buying from the rightful owner.
2. Make findings to authenticate the documents and owner. One way you can authenticate the original owner is by going to the site independently on your own without the Vendor and/or his/her agent to ask questions in the vicinity

If you notice anything that puts you on the edge, please get to the bottom of it and satisfy yourself, otherwise, don’t pay.

The following are some of the tell tale signs of lands in dispute:

Fake document or no document at all
Negative report from Land Registry
Negative report on vendor and/or agent
Advice of caution from your environmental/neighbourhood investigation
Below market price offer or closing price, when it’s too good to be true, it probably is not true
Persistent and abnormally aggressive demand for payment with the excuse that other people are showing interest in the land
Strong preference for cash payment
Signs of physical development on the land without satisfactory and/or verifiable explanation
Signs of structural demolition on the land without satisfactory and/or verifiable explanation
Any other measure aimed at achieving hasty closing.
3. Do title search at the appropriate government office. Surveyor General’s office, State Land Bureau or Land Registry. Enquire about the owner and his title. I

4. Above all, I will always encourage that you use professionals in all your acquisitions. Use professionals who belong to a body of professionals they are accountable to. It is for a number of reasons and the safety of your investment. You cannot claim to be an expert because you have read this article or have purchased landed properties a few times. No two transactions are the same. Most buyers run from the cost of hiring a professional. Don’t be fooled, the fees they charge can be negotiated. Don’t be kobo wise, naira foolish.

I will recommend that you get my book “Sack Your Landlord” for a lot more about what it takes to buy landed properties and much more. Better still, sign up for our weekly newsletter at www.destinykingpropertynew.blogspot.com.ng.

‘DESTINY OKPALAEKE
MD/CEO
Destiny King Homes.

OPERATION OFFICE
Km 33, Lekki Epe Expressway,
Treasure Mall, Floor 1, Suits 1-3,
Opposite Eko Akete Estate
Awoyaya, Nigeria.
www.destinykinghomes.com

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HOW TO GET BUILDING PLAN APPROVAL IN LAGOS

Processing a building plan approval is one of the most intricate aspects of erecting a structure.

I like to think of building plan thus: Every idea starts with the gift of imagination! However, it has been proven that even the shortest pencil is better than the longest memory. Imagination needs to be captured otherwise it becomes a thing of the past.

They are the first tangible thing that depicts the picture of the buildings we have imagined. Without them, we cannot fully capture or see the reality of that beautiful four bedroom duplex with a swimming pool and a lovely garden or the 100,000sqm of parking space with tons of convenience stores meeting the needs of various individuals.

They are the graphical representation of what a building will look like after construction and also helps in the process of evaluating the cost of erecting such a structure.

In most countries, it is customary to obtain a permit or approval from appropriate authorities and Nigeria is not an exception. A Building plan approval is necessary before construction can commence.

This is to ensure that building complies with building laws and codes and to prevent people from just constructing as they deem fit.

Hence, the very first thing to do when you want to commence construction is to obtain a Development Permit from the Lagos State Government and the office in charge is the Lagos State Physical Planning and Development Authority (LASPPDA), a parastatal under the Ministry of Physical Planning and Urban Development.

How to get your building approval:

In get building approval in Lagos, the land in question, where the building is to be erected must first have a certificate of occupancy before your building plan can even be assessed by the appropriate bodies. Also, your land title determines the height and the density you can go, depending on the area the building will be or the kind of building you intend to put up.

Hence, the following documents must be submitted at the point of registration of all applications for building plan approval in line with the State policy on Operation 30 – 30; an acronym for speedy processing/approval of building plan applications:

1. Five (5) sets each of :-
• Architectural Drawings,
• Structural Drawings, with detailing/calculations and letter of structural stability from COREN certfied Engineer.
2. Survey
3. Title Document
4. Tax clearance and Government fee (In the case of individuals); the Government fee only comes to play after your building plan must have been assessed and marked for approval…
Having paid your government fee, site inspection can now be carried out. It is after site inspection, all documents such as tax clearance certificate, title document, receipt of Tenement rate paid to the Government in respect of rateable properties owned by the applicant in Lagos State or Sworn Affidavit in lieu of that, or better still Land use charge rate. This ensures that you pay a development levy of 100 naira.

Furthermore, a team is sent to the site yet again to ensure that the land is still vacant, after which the Site Inspector writes a report. The Charting officer charts while the Site Engineer also performs his duties.

In the case of 1-2 storey buildings, the design is sent to the architect after charting, for clearance.

Architectural design is submitted for inspection to confirm if design is in conformity with the approval standards and order for the area which the land is located.

But, if it the structure is more than a 2-storey building in the design, then a Mechanical and Electrical drawing will be required.

Invariably, the site will also be checked with the immediate environment to see if proposal is in conformity with the existing land use, and if the size of the plot is as presented in the survey plan and design proposal. If the inspection report is satisfactory, the application will then be registered, provided all documents have been submitted.

The processes your building approval application undergoes:

The file is sent to the district officer who transfers it to the vetting officer. The application can then be recommended as long as there are no outstanding.

The District Officer later sends it for concurrent approval.

The file is authorized for registration by the District Officer(D.O) and registered by the clerical officer who assigns the file number and receives all sheets of the drawing submitted.

Provided all relevant documents are submitted, the file is sent to the table of the DO, who sends it to the field officer to include his site sketch and report while another file is opened with all relevant payment receipts and sent to the Lagos State Internal Revenue Service for payment of tax confirmation. If all is well and good, you then declare your tax.

Your file is sent back to the District Officer from the General Manager’s desk for final approval.

A stamp and a seal is put on it.

However in the case of commercial buildings, Institutional applications and some other uses prepared by an Urban and Regional Planner registered by NITP/TOPREC, an Environmental Impact Assessment (EIA) is required.

When the EIA gets to the Head Quarters, the department of the EIA will clear it.

After the EIA has been certified, it is attached to the file and sent to the General manager for concurrent approval.

If the application for building plan approval entails a project that goes beyond 2-storey building, then the file will come to the permanent secretary to the government.

When it is beyond 4-storey building, the file is sent  to the commissioner.

Also, beyond 6-storey building goes to the governor but in all, it’s the same process except you are doing high rise buildings.

In this case, we will be having 10-20 floors. This requires that you tender a Transport Impact Assessment (TIA) that is handled by the Ministry of Transport.

The recommendation officer’s job is crucial as he/she will go through the entire file to ensure that all requirements in terms of documents and fees have been included in the file.

Finally, the site will be re-visited to confirm that construction has not commenced before recommending to the District Officer for final approval.

All of these can be done for you by your Architect, Surveyor or any other knowledgeable member of your building team. Albeit, we can also process your building plan approval for you in any south western state of Nigeria.

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Certificate of Occupancy: How to process it successfully

For any building structure you see, whether a bungalow, duplex, sky scraper or even the foundational stage of a building, the Certificate of Occupancy, popularly called the C of O is what signifies legally that you have interest on the land upon which that property is standing on.

It is a very important document in any land transaction and is issued by the Government to the buyer of the land. Certificate of Occupancy is what makes you a lawful interest holder in the land and it also describes the type of use the land can be put to; commercial, mixed development or residential.

For example, according to the Constitution of Nigeria and since 1978, all land in a state (especially the urban parts of the state) is to be held by the Governor in trust for the people of the state.

This is not to say that we still don’t have people who exercise rights of their own on landed properties. These are called “omo-oniles” in the popular palace. Usually, their holdings are outside the legal frame work and would have to be brought in when you buy or even by themselves before selling if it is to become bankable.

To buy land therefore, you can make your purchase from the “omo-oniles”, Government or some other entity (individual or corporate) who must have earlier bought from either “omo-onile”s or Government.

Therefore to purchase a land, you either buy directly from the government, from individuals who bought from the government or from these so called “omooniles.” In cases where the said land has being a matter of some form of acquisition, you may have to pay the two of them to have access to a land.

At Realty Point, we usually advise that a proper due diligence be done when buying a piece of land because ignorance is not an excuse in law. Whoever you buy from, it is important that you obtain your Certificate of Occupancy where none existed before so as to ensure you secure a perfect title to the land.

To obtain your C of O from the government, you need to

1. Apply for land information and get your land information certificate. To do this, you need to pay an application fee at the Surveyor General’s office and provide a chartable survey plan (2 cloth, 2 paper)

2. Purchase a C of O application form. If a residential building, it’s =N=5,000 but if commercial, it’s =N=20,000 in Lagos State.

3. Fill and submit the application form in Land Use Allocation Commission (LUAC) with the following supporting documents

o Land information certificate

o Receipt for land information fee

o Receipt for application form

o Publication/inspection fee of =N=10,000

o Capital contribution (to be calculated based on size and location of land)

o Land purchase receipt/agreement (duly stamped)

o Copy of current tax clearance certificate (individuals)

o Copy of =N=100 development levy receipt

o Site location sketch

o Four passport photographs of applicant with white background

o Copy of approved building plan (if developed)

o Copy of tenement rate receipt (if occupied) or Land Use Charge

o Cover letter addressed to executive secretary LUAC, stating all documents attached, as above and typed with applicant’s address

o Acknowledgement slip from LUAC

When this is done, a letter of confirmation is issued to the Applicant with a plot and block number and the Scheme Officer processes the application for the Certificate of Occupancy, signs off on the file and forwards the files to the Executive Secretary of LUAC.

This takes a period of five days. After this, the Surveyor General provides Scheme Officer with digitized survey which is processed for two days. The Executive Secretary LUAC approves processing and signs letter of allocation.

He signs off on the file and sends the file to the Senior Special Assistant to His Excellency on Lands. He or she then vets the entire file and sends it with a covering memo to the Permanent Secretary Lands Bureau.

However, if the file has a query, the message is relayed back by notification. This process takes two days also. When the Permanent Secretary is done, he signs off the memo and sends the file to His Excellency who approves and electronically signs the Certificate of Occupancy. these two processes takes a period of four days and should the file have a query, message is relayed back by notification.

Upon approval and signing of the Certificate of Occupancy by His Excellency, He signs off and sends it to the Deputy Registrar for further processing. The Deputy Registrar processes the file further, signs off and sends it to Registrar of Titles for final registration.

The Registrar of Titles then registers the Certificate of Occupancy, signs off and request for its printing. These processes take a total of five days. Altogether, the total process adds to a period of 21 days.

It is worthy of note that in these 21 days, the application is advertised to attract objection or no objections before it is processed.

Kind of tedious wouldn’t you say? That’s why Realty Point Ltd is here to take the stress off you!

Acquisition of Land: Since 1978, the major legislation regulating the acquisition of land within the country has been the Land Use Act of 1978 which states that all land in a State is to be held in trust by the State Governor for the benefit of all Nigerians. By law, foreigners may also acquire land wherever it is located in the country from either the State governments or from other holders.

Consent: The issue of getting a property can sometimes be very daunting if you have to think about the stress and many processes involved. First, you have to be sure what you’re buying is genuine and will not be sold to anyone else after your payment except by you.

Deed: A deed, as defined in the dictionary is a signed document pertaining to the ownership or legal rights of landed property. Ownership, legal, rights, property, signed are some of the keywords that stand out here.

Land Titles: The Government of Lagos State headed by Gov. Babatunde Raji Fashola recently announced that land owners in Lagos who have no proper land title should make haste to regularise their title within 6months starting from August 1, 2012 or face the consequences of revocation.

Building Plan: I like to think of building plan thus: Every idea starts with the gift of imagination! However, it has been proven that even the shortest pencil is better than the longest memory. Imagination needs to be captured otherwise it becomes a thing of the past.

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