Easy Guide to Avoid Demolition of Your Property (Part 1)

In recent times, a good number of buildings have been demolished by the Lagos State Government (LASG), citing lack of building approvals or contravention of existing town planning laws. This has always left a sour taste in the mouths of property owners as the victims often lose their homes, investments, or both in the aftermath. These incidents have not only caused financial losses but have also shaken investor confidence in the real estate sector.

To prevent these issues, LASG has taken proactive measures by outlining a detailed guide on the requirements which developers must meet to secure building approvals and avoid the risk of demolition. In this newsletter, we will explore some of the key steps and documents that are necessary for securing the right approvals. Understanding these requirements is essential for developers and property owners to protect their investments from regulatory pitfalls.

1. Proof of Ownership

One of the most important steps in getting approval for your development is proving that you are the legal owner of the land. Without this, all other efforts are meaningless, as the regulatory authority will not issue permits for land with unresolved/unproven ownership status.

What You Need:

• Certificate of Occupancy (C of O): This is the most recognized document proving ownership in Lagos. It is issued by the state and confirms that the land is legally yours.
• Governor’s Consent: This process makes the new ownership legally binding.
• Deed of Assignment: If you purchased land that already has a C of O and are buying from the holder of the “head title”, you will need a deed capturing the assignment of the rights under that head title (or subsequent registered titles thereafter) and Governor’s Consent must have been sought and obtained for that assignment to transfer the land to your name. This document is referred to as a Deed of Assignment and it formalises the transfer of ownership between the seller and the buyer. It should be registered at the Lagos State Lands Registry to prevent future disputes.

2. Tax Clearance Certificate

LASG requires developers to show evidence of compliance with tax laws before granting building approvals. The Tax Clearance Certificate (TCC) proves that you are up-to-date with your personal and corporate taxes, and it is a critical requirement in the approval process.

Why It Matters:

• Government Revenue: The TCC ensures that developers contribute to state revenue, which is often used for urban infrastructure development and public services.
• Proof of Integrity: A tax clearance certificate indicates that you are a responsible citizen or business entity, and the state is more likely to approve projects by compliant taxpayers.

3. Land Use Charge Receipt

The Land Use Charge (LUC) is a property use tax imposed by government on land and buildings. It is a consolidation of ground rent, tenement rate, and neighbourhood improvement charges, all in one bill. To proceed with your development, you need to show that all land use charges for the property have been paid.

Why It is Important:

• Legal Requirement: Without an LUC receipt, your property is considered non-compliant, and you will not be able to obtain building permits.
• Avoiding Penalties: Failure to pay the Land Use Charge on time attracts penalties, which could complicate the approval process. In extreme cases, it can even lead to a seizure of your property.

Securing building approvals in Lagos State requires more than just submitting drawing plans – architectural, structural as well as mechanical and electrical. You need to ensure that all your title/ownership documents—like proof of ownership, tax clearance, and land use charge receipts—are in order. These requirements are non-negotiable and skipping any of them could lead to dire consequences, including the loss of your property to government demolition.

Stay tuned for Part 2 of this guide, where we will dive deeper into additional requirements like building plan approvals, environmental impact assessments, and other critical steps in ensuring your project is legally sound.

If you need expert advice, contact us 09162000888/09163000888

Until next time, stay compliant, stay informed, and safeguard your investments!

Best Regards,

Misa Team