Understanding Lagos State Demolitions & Compensation: What Every Investor Must Know

Oftentimes, Lagos State has witnessed a wave of property demolitions targeting buildings that did not meet planning permit and approval requirements.

Naturally, this has raised concerns among real estate investors and prospective homeowners. Some are even asking:

“Is real estate in Lagos still safe?”

The short answer is yes. Lagos real estate — especially in fast-developing areas like Ibeju-Lekki, Epe, and Lekki-Ajah — remains one of the most profitable investments in Nigeria. However, the key lies in due diligence.

In this guide, we’ll break down why demolitions happen, what the law says about government compensation, and the key steps every investor must take to protect their assets in Lagos.

Why Do Demolitions Happen in Lagos?

Every property in Lagos must comply with the regulations of:

• Lagos State Physical Planning Permit Authority (LASPPPA)
• Lagos State Building Control Agency (LASBCA)

Properties without proper planning permits, approved layouts, or valid titles are considered illegal developments. Such structures may be marked for demolition, especially when located on:

• Drainage channels
• Road setbacks
• Powerlines
• Government acquisition land
• Coastal protection zones, etc.

Hotspot Example:

In Ibeju-Lekki and Epe, many buyers have been lured by “cheap land offers” without checking the title or layout. Sadly, some of these lands fall under government acquisition — meaning they can be reclaimed without compensation.

ATTENTION: This piece of information is a combination of research. This is for information only. Seek legal and professional help for further steps.

Government Compensation: What the Law Really Says

One of the biggest questions investors ask is:
“Will the government compensate me if my property is demolished?”

Here’s the legal position:

1. Lagos State Urban & Regional Planning & Development Law (2010, amended in 2019)

• Empowers Lagos State to regulate development, issue planning permits, and remove illegal structures.
• Section 58 (2010 Law): If a legally occupied building is demolished as part of an approved government project, the Urban Renewal Agency must recommend acquisition to the Governor. Once approved, compensation becomes payable under the Land Use Act.

2. Land Use Act (Federal Law, 1978, Section 29)

• Provides for compensation when land or buildings with a valid title are acquired by the government.
• Compensation covers land, buildings, and improvements — but only if ownership and approvals are valid.

Lagos State’s Official Position on Compensation

The government has made its stance clear:

• Only properties with valid approvals and permits are eligible for compensation.
• Structures without permits, titles, or built on restricted/government land will not attract compensation.

This means compensation is real, but it only protects investors who buy right.

What This Means for Investors

No law supports compensation for illegal or unapproved properties. As an investor in Lagos, especially in high-demand zones like Lekki-Ajah, Sangotedo, Abijo, Ibeju-Lekki, and Epe, this should not scare you away. Instead, it should remind you of the importance of:

1. Verifying land and property titles.
2. Ensuring layouts and building approvals are in place.
3. Working with trusted developers and licensed realtors.

Key Questions to Ask Before Buying Property in Lagos

Before paying for land or property in Lagos, always ask:

• “What is the title of this property?” (C of O, Governor’s Consent, Registered Survey, etc.)
• “Is there an approved layout or permit from LASPPPA?”
• “Does this property align with Lagos State’s urban planning regulations?”

ATTENTION: If you are looking for property to invest in with a good title, please send a direct message below.

By asking these questions upfront, you safeguard your investment from demolition risks.

FAQs on Lagos Demolitions and Compensation

1. Will Lagos State pay me if my house is demolished?

Yes — but only if your property has a valid title and planning approvals. Compensation applies under the Land Use Act when the government acquires your property legally. Illegal or unapproved structures do not qualify.

2. How do I know if a property in Lagos is safe to buy?

• Verify the title (e.g., C of O, Governor’s Consent, or Registered Deed).
• Check LASPPPA approval and survey layout.
• Confirm it’s not under government acquisition or on a coastal protection zone.

3. Can demolitions happen even if I have documents?

If you have valid documents and approvals, your property is secure. However, if the government acquires it for public use (like roads, Lekki-Epe Express expansion, or the Coastal Road), you become eligible for compensation.

4. How can I avoid being a victim of demolitions?

• Avoid “too cheap” land deals in fast-rising areas.
• Always conduct land searches at the Lagos State Land Registry.
• Work with reputable developers and registered realtors.

Final Takeaway for Investors

Real estate in Lagos — from Lekki to Ibeju-Lekki to Epe — is not a risk when you invest right. The recent demolitions are not meant to scare genuine investors but to reinforce the importance of buying safe, not cheap.

At Sureland Realtors Ltd, our mission is to connect investors with verified developers and ensure all transactions are perfected in line with Lagos State laws. This way, your investment remains safe — and even if government projects affect your property, you are protected by law.

Remember: Don’t buy cheap, buy safe.
The difference between regret and reward is the quality of your due diligence.

For further details and to invest right in Lagos, please call or WhatsApp Peter at +234 901 509 4850 or click on the WhatsApp button on your screen.