Why Lagos C of O processing can run for years, and what it costs property owners

Delays in obtaining Certificates of Occupancy (C of O) and completing land-title transfers in Lagos are holding back property owners, developers and small businesses, according to a discussion on the Policy Without Politics programme hosted by Dr Ken Onyali Ikpe and Mustafa Chike Obi.

A Certificate of Occupancy is the document that evidences a statutory right of occupancy granted by government. Under the Land Use Act of 1978, land in each state is vested in the governor, to be held in trust for Nigerians. Securing a C of O in Lagos can involve documentation checks, survey verification, property inspection, title searches, assessment of applicable charges and government approval before registration and issuance, with applications passing through land administration offices, the Office of the Surveyor-General, the Lands Bureau and the governor's office.

A 2012 Lagos State service charter outlined a 24-working-day sequence for specified stages of private C of O processing, but published accounts describe applicants waiting far longer. The programme's hosts cited an April 2026 report by Meridian Heritage Properties that processing could take between one and two years in some circumstances, while noting that this is an indicative account rather than a verified average across all applications.

The problem does not end once a title exists. Under Section 22 of the Land Use Act, the governor's consent is generally required for the assignment, mortgage, transfer or other disposition of a statutory right of occupancy, so a buyer acquiring a property that already has a C of O may still need to complete documentation, obtain consent and register the transaction before the transfer is perfected. Those steps add time and cost to buying, selling or pledging property as security.

The presenters argued that the consequences reach the financial system. A house or parcel of land may carry substantial market value, but banks must verify ownership and assess whether a title provides reliable security; where documentation is incomplete or a transaction is unperfected, lenders may reject the property, demand additional guarantees or take longer to approve financing. That, they said, constrains small business lending, slows developers and discourages investors weighing projects with uncertain ownership records.

During the discussion the hosts cited a housing deficit that they said had risen from about 14 million units in 2010 to 28 million in 2026, and put Nigeria's mortgage-to-GDP ratio below 0.5%, contrasting it with South Africa and advanced economies. Lagos State has introduced digital services through its Lands Multipurpose Desk portal for selected regularisation and documentation processes, but the hosts argued that digitising applications does not by itself remove delays caused by title disputes, incomplete records and approval procedures. They called for a review of the Land Use Act and the administrative rules around land transactions, backed by transparent fees, clear service standards and accountability for administrative delays.