Lagos seeks review of yearly tenancy to monthly by property owners
The Lagos State Government has called on property owners in the state to allow their tenants to pay rents on monthly basis against the current practice where tenant are charged per annual and in some cases tenants are made to pay two years rents in advance.
Governor Babajide Sanwo-Olu, made the call on Thursday in Lekki, during the Policy Roundtable Dialogue with key stakeholders in the Real Estate Sector.
”Landlords should see how they can reduce yearly rent to monthly. The housing deficit in Lagos is huge and unacceptable, but government cannot do it alone,” Sanwo-Olu said.
Sanwo-Olu said that a situation whereby residents faced pressure once their rents were due was not palatable, hence, should be looked into.
The roundtable, with the theme ”International Best Practices On Real Estate Regulations”, was organised by the Lagos State Real Estate Regulatory Authority (LASRERA).
He called for synergy between the state government and stakeholders in the real estate sector to address the issue of housing deficit and reduce rents in the state. The governor said that this would help to make life easier for Lagosians.
“Public-Private Partnership is one of the options we are exploring to realise our objectives of providing viable housing scheme for our citizens.
“We are at the edge of identifying real big players in the real estate sector to see how well we can leapfrog housing stock in our State. The Government is ready to provide enabling environment and remove the bottlenecks that may impede this opportunity.
“The housing stock deficit that we have in Lagos is not acceptable, but we all know the Government cannot provide everything.
“We certainly need to explore opportunities in private investment to ensure we realise our objective. Real estate business has the potential of contributing 25 percent growth to the State’s economy and we cannot let this opportunity pass by,” the governor stated.
”The real estate can contribute 20 to 25 percent to the GDP. We need to have clear data where landlords would no longer be demanding one year rent ahead.
Sanwo-Olu said part of the efforts being made by the Government to raise the investment level of real estate business is to improve the turnaround time on land transactions.
He said the State Government had started improvement work on its Geographic Information System (GIS) platform to enable real estate investors have real-time information on status of property they are investing in.
The governor said that it was clear that there was no proper data concerning the real estate operators in the state.