By Jude Njoku

The new tenancy law in Lagos state came under heavy criticism last week by the cream of Lagos-based estate surveyors and valuers. The setting was a one-day business luncheon which was conveyed to x-ray the provisions of the legislation.

Speaking at the luncheon, the President of the Nigerian Institution of Estate Surveyors and Valuers, NIESV, Mr. Bode Adediji noted that the Lagos State Government must have enacted the new tenancy law “out of desperation to confront the hydra-headed monster which the housing crisis has become, since other efforts might not have produced tangible results”.

Adediji who noted that by virtue of its status as Nigeria’s foremost commercial and industrial metropolis, Lagos accounts for the largest share of the housing problem in the entire country, posited that “unless we confront housing shortages by way of addressing all the factors which are responsible for the pathetic situations, the newly enacted law would merely turn out to be a diversionary tactics”. He was quick to point out that such was not the intention of Governor Fashola.

The NIESV President who restated the resolve of estate surveyors to partner with the government to solve the housing crises facing the country, submitted that the newly enacted tenancy law is one document that would have tremendous impact on the housing landscape in the state in particular and perhaps even in Nigeria as a whole.

Messrs Onabadejo, Ovesuor and Fatoki at the briefing

But speaking at a pre-event briefing, the Chairman of Lagos State branch of NIESV, Mr Sola Fatoki, declared that “the new tenancy law in Lagos as well as the high taxes and charges in processing the certificate of occupancy, C of O, consent and building approvals are disincentives to housing in Lagos State”.

Fatoki stated that “rent control in Lagos since the tenure of Brigadier-General Mobolaji Johnson, RTD, from the 70s has never achieved the desired purpose as demand is usually higher than supply”.

Describing the performance of government in the provision of housing for the low and medium income earners as abysmally low, the estate surveyors explained that the tenancy law will worsen the situation.

Increase housing stock

Fatoki appealed to the Lagos State government to ensure that “efforts are made to increase the housing stock”. This measure, he stated, would go a long way in making housing available to Nigerians and automatically force down the high rents being witnessed in the state.

Although Fatoki wondered why the law excluded highbrow areas like Ikoyi, Victoria Island, Ikeja GRA and Apapa, he stated that when you leave out such areas, you are indirectly telling people not to put their money in the provision of housing for the masses; they should only invest in the exempted highbrow areas.

Also speaking at the forum, a former chairman of the branch, Otunba Bola Onabadejo regretted that the government did not carry the relevant stakeholders along before the bill was passed and signed into law. According to him, the government should have consulted widely before the passage of such an important law that would affect many Lagos residents.

Immediate past chairman of the branch, Mr. Elias Ovesuor noted that the law will not only create a black market situation, it will also discourage people from investing in property. According to him, if you discourage people from investing in property, they will put their money into other investments.

He maintained that the numerous taxes, lengthy approval processes and high documentation fees in the state, discourage people from investing in real estate in Lagos.