FG warns property associations towards accumulating floor lease on federal lands 

The Federal Authorities has warned property associations in Lagos State towards unauthorised assortment of floor lease from occupants of Federal Authorities-owned lands and properties.

Minister of Housing and City Improvement, Ahmed Dangiwa, issued the directive on Friday throughout a stakeholder engagement and evaluation of estates resembling Banana Island and Parkview, as reported by the Information Company of Nigeria.

Dangiwa emphasised that the Federal Authorities completely collects floor lease however permits property associations to remit it totally if collected on its behalf.

He clarified that associations are solely authorised to gather facility administration charges for providers like electrical energy, roads, and different facilities, not floor lease. Failure to conform, he warned, would result in the federal government immediately managing collections via employees or consultants to make sure accountability.

“That is recognized to be the ability administration charges which all estates often cost in an effort to preserve the property, however they need to not transcend that to accumulating floor lease from the occupants. 

“The bottom lease is supposed for the Federal Authorities. 

“If they’re accumulating it on our behalf, they need to remit it totally, in any other case we’re going to interact our personal employees to do it or interact consultants to take action on our behalf,” he mentioned. 

The Housing Minister additionally highlighted ongoing collaboration with the Lagos State authorities to resolve land disputes, harmonise tax funds, and tackle double taxation points for house owners of Federal Authorities estates. Dangiwa famous that this joint effort consists of forming a committee to make sure correct land administration and stop exploitation by third events.

What it is best to know  

Dangiwa’s latest warning towards property associations in Lagos from accumulating floor lease from occupants follows an earlier ultimatum he issued in October 2024, the place he gave house owners of Federal Authorities-titled properties nationwide a 60-day deadline to pay excellent floor lease and different statutory costs or danger the revocation of their Certificates of Occupancy (C of O).

• The ultimatum was introduced on the twenty ninth Convention of Administrators of Lands in Ministries, Departments, and Companies (MDAs) in Abuja, which centered on challenges in land administration and its impression on local weather and neighborhood rights. The occasion introduced collectively key stakeholders from federal and state companies.
• Dangiwa famous that widespread default on floor lease funds has price the federal government trillions of naira in income, stressing that the Ministry would now not tolerate such non-compliance below the present administration.
• He emphasised that these funds are important to nationwide improvement efforts and warned residents’ associations in Federal Authorities-owned estates towards obstructing ministry officers from conducting billing or imposing funds.

The minister reiterated that these associations should strictly adhere to the phrases of their Certificates of Occupancy to keep away from penalties and sanctions.

His latest directives in Lagos additional underline the Federal Authorities’s dedication to making sure compliance, bettering income assortment, and imposing correct land and asset administration throughout the nation.