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Nairametrics
Home Sectors Real Estate and Construction

Okun-Ajah residents, investors protest alleged unpaid compensation linked to demolitions for Lagos-Calabar Highway 

Caleb Obiowo by Caleb Obiowo
July 10, 2025
in Real Estate and Construction, Sectors
Okun-Ajah residents, investors protest alleged unpaid compensation linked to demolitions for Lagos-Calabar Highway 
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Residents and investors affected by demolitions before construction began on the Lagos-Calabar Coastal Highway in Okun-Ajah protested at the Federal Ministry of Works’ Glass House in Obalende.

The demonstration took place on Wednesday, with a coalition of civil rights organisations and legal representatives among the protesters urging the federal government to address their grievances, according to the News Agency of Nigeria (NAN).

The group stated that many property owners remain uncompensated for demolished properties and called for proper dialogue and fair compensation. Comrade Declan Ihekaire, National Coordinator of Activists for Good Governance, condemned the demolitions as unfair and demanded meaningful engagement with those affected.

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“A coalition of Civil Rights Organisations (CSOs) has called for compensation for victims affected by the demolition of properties in the Okun-Ajah area of Lagos State. 

“The coalition expressed its grievances during a protest held on Wednesday at the Federal Ministry of Works’ Glass House in Obalende, Lagos,” the NAN report read in part.

It added, “National Coordinator of Activists for Good Governance, Comrade Declan Ihekaire, appealed to the Minister of Works, Mr David Umahi, to engage in dialogue with those whose properties were demolished and ensure they were duly compensated.” 

During the protest, participants displayed placards and chanted slogans demanding dialogue and compensation. They urged Minister of Works, Mr. David Umahi, to engage with displaced property owners and follow Section 44 of the 1999 Constitution, which requires compensation for acquired private property.

More insights  

Comrade Declan Ihekaire also raised concerns over the alleged detention of a security guard, Mr. Obanla, by soldiers during the minister’s recent site visit.

  • Legal counsel Tahir Ahmad, representing the Foreign Investors Network of Nigeria, said many affected investors—Nigerians living abroad—have collectively invested up to $250 million in the Okun-Ajah area.
  • He stressed that these properties were legally owned with valid documentation, and the failure to compensate violates constitutional and legal provisions.

Ahmad added that although the minister acknowledged diverting the highway’s route due to undersea cables, including one owned by MTN, the government did not follow due process in compensating affected owners.

The protesters called on President Bola Tinubu to set up a committee of inquiry into the demolitions and compensation claims.

What you should know 

Demolitions along the path of Section 1 of the Lagos-Calabar Coastal Highway in Lagos occurred prior to construction last year, with several property owners allegedly yet to receive compensation.

  • While the federal government maintains that payments were made for both shanties and permanent structures impacted by the project, the law does not mandate compensation for buildings situated along the gazetted route.
  • During the commissioning of the completed Section 1 in May, Minister of Works David Umahi disclosed that N18 billion had been disbursed for compensation, with the Ministry of Works directly overseeing payments under President Tinubu’s directive to ensure timely project completion.

Despite these claims, concerns about unpaid compensation persist among affected residents and investors, including Nigerians in the diaspora.

Adding to the controversy, Landmark Africa CEO Paul Onwuanibe revealed in January 2025 on The KK Show – Key to Keys podcast that the April 2024 demolition of Landmark Beach Resort was conducted on short notice, resulting in an estimated $80 million loss. He noted that Landmark Africa had not received compensation at the time, although some other property owners have reportedly been paid.


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Tags: Lagos – Calabar Coastal Highway
Caleb Obiowo

Caleb Obiowo

Caleb Obiowo is a graduate of Urban and Regional Planning from the University of Uyo. At Nairametrics, he covers transport and logistics in Nigeria, along with real estate, construction, and aviation. He focuses on delivering clear, easy-to-understand stories and often digs deeper into industry issues through conversations with key players.

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