Real estate developers in Nigeria have faulted the spate of property demolitions in the country, especially in Lagos and Abuja which account for over 60 percent of real estate development activities in the country.
The developers, under the aegis of Real Estate Developers Association of Nigeria (REDAN), are particularly worried by the uncoordinated demolition of properties in Lagos to pave way for the on-going construction work on Lagos-Calabar coastal highway.
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The association at a press conference in Lagos addressed by its national executives along with those of the Lagos State and South West zonal chapters tasked the federal ministry of works which is supervising the highway project to respect Nigerians’ constitutional rights and follow due process before undertaking property demolition.
“Government should be governed by laws rather than individuals’ discretion. Any action that disregards the constitutional rights of citizens sets a dangerous precedent that undermines equity and fairness. As we have seen in recent times, these unchecked demolitions are causing immense hardship for those affected and threatening the livelihoods of many Nigerians, including our members,” Akintoye Adeoye, REDAN President, said at the conference.
Adeoye noted that the ongoing destruction of project sites and investments across Lagos has already forced many developers to seek opportunities in other states, further deepening the housing deficit in Nigeria. He added that the government must ensure that fairness and transparency prevailed as these demolitions have significant economic and social impact.
Taking this further, Kunle Adeyemi, the Vice President, South West Zone, stressed that the impact of these demolitions goes beyond the shores of Nigeria. He explained that many of Diaspora Nigerians are reconsidering their investment decisions back home because, according to them, security of investment is no longer guaranteed.
Adeyemi, who is also the CEO, Sterling Homes headquartered in Lagos, lamented that a country which has heavy housing deficit burden on its shoulders is busy demolishing homes of the few who have managed to own one. He added that it is worrying that a government that is globe-trothing in search of foreign investors is destroying homes and investments that are already established and thriving.
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“What is happening is discouraging new investment in this sector. About 35 percent of diaspora investors have been affected and these are people whose annual remittances contributes significantly to the national GDP. We as a body want both federal and state governments to make Lagos an investment haven for all categories of investors,” Adeyemi advised.
According to Ololade Abuta, national chairperson, Contact and Public Alliance Committee, “REDAN is not against the Lagos-Calabar coastal highway as it is a major plus for the national economy, but compensation for owners of properties affected by the highway construction should be adequately compensated.
Compensation should be fair and just and that is what we want for our affected members and other victims of the demolition. There should be fair balance in the compensation, meaning that what the government gives as compensation should be enough to return the property owner to where he was before the demolition. It should not be compensation for its own sake,” she emphasized.
Adeoye called on the federal government and the ministry of works to adopt a more inclusive approach that protects the rights of property owners, compensates fairly, and follows the legal procedures required before any demolition. He pointed out however that legal action is the last option for them in the present circumstance, stressing that there is room for dialogue.
He revealed that REDAN was deeply worried over Nyeso Wike, the federal capital territorys authorization of demolition of properties worth over N200 billion in Sabon Lugbe, Abuja, allegedly without due process.These demolitions, he noted, have left many Nigerians homeless.
Adeoye quoted the legal representative of the affected developers as saying that the owners of the demolished properties have all necessary title documents and building permits issued by the Development Control Department within the FCT Administration (FCTA), lamenting that, despite this, the demolitions proceeded without prior notice or a court order.
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“As a key stakeholder in the housing and real estate sector, REDAN finds these allegations highly disturbing, especially at a time when our nation is grappling with a significant housing deficit and economic hardship due to the removal of fuel subsidy and the floating of the Naira.
The demolition of housing at such a critical time amounts to an economic waste and benefits no one, as it further worsens the housing crisis. Given the current economic challenges, there is an urgent need for cautious and efficient management of our limited resources. Any action that renders Nigerians homeless should be condemned by all,” he asserted,
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