The Real Estate Developers Association of Nigeria (REDAN) has faulted the House of Representatives Ad-Hoc Committee Investigating the operations of the Real Estate Developers in the Federal Capital City (FCT) on its position on the Real Estate Regulatory and Development Bill.
The committee, in a communique it issued at the end of a workshop it held on the FCT property developers, stated that the “REDAN Bill is unrealistic and therefore should be jettisoned.”
REDAN says it is surprised by this “hasty” conclusion which contradicts the same committee’s earlier position on real estate development as contained in the communiqué.
The committee had noted that “there is no clear regulatory legal framework for estate developers, hence the proliferation of incompetent, inefficient and fraudulent developers with the tendency to mislead the public” and
It also noted that “FCT is losing so much revenue as a result of non-compliance to the real estate regulations and enforcement of laws on land administration.”
While taking exception to its position on jettisoning the REDAN Bill, the developers hailed the last two statements from the law makers, saying that they point to the significance of having a regulatory legal framework for real estate development in Nigeria.
The developers at a press conference it addressed in reaction to the Reps decision, wondered why the law makers decided to jettison the real estate bill which REDAN as well as other well-meaning institutions like the Economic and Financial Crime Commission (EFCC) packaged and presented to the 9th Senate and the House of Representative in July 2020.
Others parties to the Bill are Nigeria Financial Intelligence Unit (NFIU), Special Control Unit Against Money Laundering (SCUML), scholars from many universities and International.
REDAN President, Aliyu Wamako, highlighted some of the objectives the real estate Bill and its benefits to the investment community. He said that the bill seeks, among other things, standardize the business of real estate development in Nigeria by regulating the conduct of transactions in the real estate sector;
The Bill also seeks to provide enabling environment and transparency in the business of real estate development in Nigeria; make the business of real estate development in Nigeria conform to international best practices and safeguard the ultimate interest of all stakeholders in the business.
It is intended to cCurb fraudulent practices in the business of real estate development in Nigeria; ensure that the real estate business conforms with the National Building Code in Nigeria, and create an innovative and sustainable environment to promote Nigeria as a real estate investment destination in Africa and the world.
Wamako recalled that the 9th Senate on Wednesday, November 17, 2021 passed the real estate Bill and a week later, the Senate President sent the Bill to the House of Representatives for Concurrence. The House read the Bill on December 2, 2021.
He assured that Nigerians will benefit from the passage of the Bill which is aimed at ensuring compliance with all extant laws, National Building Code, financial regulations, and adherence to standards by Developers.
“It will ensure value for money for home-seekers, quality of buildings, instill professionalism and mitigation of collapsed building in our dear nation. This is in the overall interest of the professionals and practitioners in the built industry,” the president assured.
He added that there is need to regulate the industry, like it is done in advanced economies such as USA, U.K, Malaysia, South Africa etc. “May we once more emphasise that REDAN Bill, when given concurrence at the Lower House, will provide answers to many issues bothering the industry,” he said.
He noted that those opposing the Bill belong to a certain group of developers that have vowed to ensure that the Bill does not pass at the Lower House, pointing out that the only known reason for these developers opposing the Bill is simply because they are likely the ones neck-deep in the money laundering business and financing of terrorism.
“They are obviously economic saboteurs and are ready to tarnish the image of Nigeria. They are working to perpetually stain Nigeria in the eyes of the world. If the business is regulated, the law enforcement agents and regulators will catch-up with them and they will be exposed and their businesses will crumble,” Wamako stated.