Dayo Jacob – Stakeholders in Nigeria’s built environment have called for a sweeping overhaul of the country’s real estate regulatory system, warning that property fraud, multiple sales, defective titles, unlicensed developers, abandoned projects and weak consumer protection are undermining confidence in one of the nation’s most important economic sectors.
The call is coming ahead of a proposed National Assembly stakeholder engagement in October 2026 on “Regulating Nigeria’s Real Estate Sector: Protecting Citizens, Unlocking Investment and Building a Globally Competitive Property Economy.”
In a joint professional perspective, Bldr. Abdulrazaq Ayo Alao and QS Bldr. Chika Yesmeen Alao, proposed the establishment of a Nigerian Real Estate Regulatory Authority (NRERA) to provide a coordinated framework for regulating the sector.
According to them, the proposed authority should strengthen consumer and investor protection, improve market transparency, ensure accountability among developers and promote sustainable development without creating unnecessary bureaucracy that could discourage legitimate investment.
They stressed that NRERA must complement, rather than duplicate, the responsibilities of existing federal, state, FCT and professional regulatory institutions.
The proposed framework would provide for the registration and licensing of regulated operators, registration of developers and projects, public verification systems, consumer protection, off-plan safeguards, advertising standards, complaints handling, market intelligence, compliance monitoring and proportionate sanctions.
A major concern raised by the stakeholders is the vulnerability of Nigerians who invest in off-plan developments.
They called for stronger safeguards, including project and title verification, disclosure of approvals and financing arrangements, clear construction specifications and completion schedules, milestone-based payments and escrow or equivalent purchaser-protection mechanisms.
They also advocated refund and remedy provisions for buyers where developers default or become insolvent.
The stakeholders further demanded tougher standards for property advertising across television, radio, newspapers, billboards, websites, social media and property portals.
They said developers and agents should clearly distinguish between approved and proposed developments, projected and actual returns, existing and promised infrastructure, as well as completed and proposed facilities.
Misleading or unverifiable claims, they argued, should attract proportionate sanctions.
The proposed reforms also place strong emphasis on the built-environment professions, insisting that architects, builders, quantity surveyors, engineers, estate surveyors and valuers, town planners, surveyors, environmental specialists and other legally recognised professionals must operate strictly within their statutory competence.
They said professionals should maintain integrity, protect public safety, reject fraudulent practices, maintain proper records, promote quality and value for money and undertake continuing professional development.
Legal practitioners and the judiciary, they added, must remain central to the property system, particularly in title verification, acquisition, development agreements, financing, construction, sales, leasing and dispute resolution.
The stakeholders warned against regulatory overreach, insisting that enforcement must respect due process, fair hearing, judicial review and constitutional rights.
They proposed an enforcement sequence of complaint, investigation, notice, response, evidence, decision, review or appeal, judicial remedy and enforcement.
They also cautioned against arbitrary demolition, harassment and selective punishment, saying demolitions, where legally necessary, must follow lawful authority, technical assessment, due process and appropriate communication.
Beyond regulation, the proposed framework seeks to make Nigeria’s property industry more responsive to climate change and environmental challenges.
Developments, according to the proposal, should consider flooding, drainage, erosion, wetlands, waterways, green belts, biodiversity and urban heat, while encouraging passive cooling, natural ventilation, solar shading, rainwater management, energy efficiency and sustainable materials.
The stakeholders argued that Nigeria should not solve its housing deficit by creating future environmental problems.
They also called for affordable and inclusive housing that takes into account not only the cost of land and construction but also infrastructure, finance, energy, maintenance, taxation and transportation.
“A house that is cheap to purchase but extremely expensive to access is not truly affordable,” they stated.
The proposed reforms equally seek to boost local manufacturing and small businesses by promoting Nigerian production of building materials, components, fixtures, finishes, energy systems and construction equipment.
The authors urged government to draw lessons from countries including Saudi Arabia, the United Arab Emirates, India, Singapore, the United Kingdom, Australia, South Africa, Rwanda, Kenya and the United States, but warned against blindly copying foreign models.
They proposed a process of “study, benchmark, adapt, legislate, implement, enforce, monitor and review” to create a regulatory system suited to Nigeria’s laws, federal structure, economy, climate, culture and social realities.
They said the October 2026 National Assembly engagement must go beyond speeches and produce concrete outcomes, including identification of regulatory gaps, institutional coordination, stakeholder consensus, legislation, implementation and measurable performance indicators.
Ultimately, the stakeholders said the objective should not be regulation for its own sake, but the creation of a property economy that protects citizens, attracts legitimate investment, strengthens professionals and developers, creates jobs and delivers safe homes, productive communities and climate-resilient cities.
Their vision is a globally competitive but distinctly Nigerian property economy anchored on safe homes, affordable housing, sustainable communities, accountable professionals, responsible developers, empowered SMEs, accessible justice and stronger investor confidence.
