Legal practitioners have called for greater regulatory harmonisation, transparency, and meticulous documentation to strengthen Nigeria’s real estate sector and enhance investor confidence.
Speaking at the 2025 Legal Business Conference in Lagos, themed “Real Estate as a Catalyst for Economic Development,” Managing Associate at Olaniwun Ajayi LP, Oluwafikayomi Ogunrinde, said the success of any real estate transaction hinges on rigorous legal due diligence and clarity in documentation.
“Due diligence must cover the parties involved, the security, and the property itself. We have seen cases where developers acquire land and develop outside their allocated boundaries, using such portions as collateral. When issues arise, lenders discover that what they hold as security does not legally exist,” she said. She emphasised that property titles remain the most critical risk factor in real estate transactions.
“Title, that is the foundation,” she stressed, urging investors and legal advisers to verify ownership and compliance thoroughly before execution. Ogunrinde also called for legal reforms to streamline Nigeria’s regulatory processes, describing the current system as cumbersome and prone to inconsistencies.
“A unified compliance dashboard that consolidates interactions with agencies such as FIRS, LASRA, and local governments would go a long way. It’s embarrassing when foreign clients receive conflicting information from different authorities on the same property,” she said.
Convener of the conference and founding partner at The Law Suite, Ifeoma Ben, echoed the call for greater legal oversight in the sector. She stressed that poor documentation and fraudulent practices remain major threats to investor confidence.
“Fraud must be curbed at every level. Agreements should be properly documented from the first point of negotiation. Lawyers are crucial in ensuring contracts are clear, enforceable, and protective of investors’ interests,” she explained. Ben also addressed recent demolitions of residential properties in Lagos, noting that such incidents highlight the effect of weak due diligence.
“We must trace the root of the title and engage professionals from the beginning. Government agencies must also rid their systems of fraudulent actors,” she stated.
Principal Architect at The Building Practice Ltd., Michael Olufemi Alley, said architects play a vital role in making projects financially attractive through sustainable design.
“Green and energy-efficient buildings appeal to impact investors and development banks such as AfDB and IFC. They attract cheaper financing compared to local loans with high interest rates,” he stated.
Chapter President of the International Real Estate Federation (FIABCI), Akin Opatola, described the real estate sector as a viable driver of Nigeria’s GDP.
He commended the infrastructural projects in Lagos, such as the Fourth Mainland Bridge, coastal highway, and new international airport, for stimulating economic growth and real estate activity.
