The Federal Government has warned estate associations in Lagos State against unauthorised collection of ground rent from occupants of Federal Government-owned lands and properties.
Minister of Housing and Urban Development, Ahmed Dangiwa, issued the directive on Friday during a stakeholder engagement and assessment of estates such as Banana Island and Parkview, as reported by the News Agency of Nigeria.
Dangiwa emphasized that the Federal Government exclusively collects ground rent but allows estate associations to remit it fully if collected on its behalf.
He clarified that associations are only authorised to collect facility management fees for services like electricity, roads, and other amenities, not ground rent. Failure to comply, he warned, would lead to the government directly managing collections through staff or consultants to ensure accountability.
“This is known to be the facility management fees which all estates usually charge in order to maintain the estate, but they should not go beyond that to collecting ground rent from the occupants.
“The ground rent is meant for the Federal Government.
“If they are collecting it on our behalf, they should remit it fully, otherwise we are going to engage our own staff to do it or engage consultants to do so on our behalf,” he said.
The Housing Minister also highlighted ongoing collaboration with the Lagos State government to resolve land disputes, harmonise tax payments, and address double taxation issues for owners of Federal Government estates. Dangiwa noted that this joint effort includes forming a committee to ensure proper land administration and prevent exploitation by third parties.
What you should know
Dangiwa’s recent warning against estate associations in Lagos from collecting ground rent from occupants follows an earlier ultimatum he issued in October 2024, where he gave owners of Federal Government-titled properties nationwide a 60-day deadline to pay outstanding ground rent and other statutory charges or risk the revocation of their Certificates of Occupancy (C of O).
- The ultimatum was announced at the 29th Conference of Directors of Lands in Ministries, Departments, and Agencies (MDAs) in Abuja, which focused on challenges in land administration and its impact on climate and community rights. The event brought together key stakeholders from federal and state agencies.
- Dangiwa noted that widespread default on ground rent payments has cost the government trillions of naira in revenue, stressing that the Ministry would no longer tolerate such non-compliance under the current administration.
- He emphasized that these funds are critical to national development efforts and warned residents’ associations in Federal Government-owned estates against obstructing ministry officials from conducting billing or enforcing payments.
The minister reiterated that these associations must strictly adhere to the terms of their Certificates of Occupancy to avoid penalties and sanctions.
His recent directives in Lagos further underline the Federal Government’s commitment to ensuring compliance, improving revenue collection, and enforcing proper land and asset management across the country.
