Business
What Happens if You Build on Unregistered Land in Nigeria? By Dennis Isong
In Lagos and other parts of Nigeria, registration is what gives life to land ownership. It’s like having a car without registration papers—you may drive it for a while, but if the authorities stop you, you’ll have questions to answer.
It started with Tunde, a middle-aged man who had finally saved enough to build a small bungalow for his family in Lagos. He bought land through a “family agent,” eager to start construction quickly.
Within months, the foundation was up, walls were rising, and he proudly watched his dream take shape. But one morning, government officials showed up with an order—his building was sitting on unregistered land.
Tunde’s heart sank. Everything he had worked for was suddenly at risk.Tunde’s story is not uncommon in Nigeria. Many people rush into building on land without confirming its legal status.
The result is often heartbreaking—loss of property, endless court cases, or government demolition. So, what happens if you build on unregistered land in Nigeria? Let’s break it down carefully and realistically.
1. Understanding What Unregistered Land Means
Before we talk about what happens if you build on unregistered land in Nigeria, it’s important to understand what unregistered land actually means.
In simple terms, unregistered land is land that has not been formally recorded with the government or does not have an official title document such as a Certificate of Occupancy (C of O), Governor’s Consent, or registered Deed of Assignment.
When land is registered, it means the government recognizes you as the lawful owner.
Your name and the property details are stored in official land registries, making your ownership legally protected.
But if your land is unregistered, your ownership may only be based on informal documents—like receipts, family agreements, or a local survey plan—which are not legally binding in court.
In Lagos and other parts of Nigeria, registration is what gives life to land ownership. It’s like having a car without registration papers—you may drive it for a while, but if the authorities stop you, you’ll have questions to answer.
The same principle applies to land. You may fence it, build on it, and even live there, but if your land is not legally registered, you don’t have full ownership rights.
This is why real estate experts always warn buyers to confirm land titles before paying a dime. Because in Nigeria, owning land and proving ownership are two different things.
2. The Legal Consequences of Building on Unregistered Land
Now, let’s answer the main question—what happens if you build on unregistered land in Nigeria? The legal consequences can be very serious.
When you build on unregistered land, your development is seen as being done without proper authorization.
According to the Land Use Act of 1978, all land in each state belongs to the Governor, who holds it in trust for the people.
To legally own or use any land, you must have the Governor’s approval through the Certificate of Occupancy or Governor’s Consent. Without this, your ownership is incomplete in the eyes of the law.
If government officials discover that your land is unregistered, they can issue a “stop-work” order, preventing further construction. In many cases, if the land falls under government acquisition or reserved area, the building may be marked for demolition.
And if the land belongs to another person who has legal registration, you could be charged with trespass, even if you didn’t know.
Imagine spending millions building your dream house only to be told that it stands on land that belongs to someone else—or worse, on land the government has already allocated for a public project.
In such cases, ignorance is not an excuse. The law prioritizes the registered owner.Another hidden danger is that you can’t use unregistered land for financial transactions.
For example, banks will never accept such property as collateral for a loan because it lacks a valid title.
Even selling it later becomes difficult since buyers now demand proper documentation before parting with money.
So, while you may enjoy the land temporarily, the long-term risk is too great. Building on unregistered land in Nigeria can cost you not just your investment but also your peace of mind.
3. The Financial and Emotional Cost of Building Without Proper Registration
There is a painful truth many Nigerians have learned the hard way—building on unregistered land might seem cheaper at first, but in the long run, it is far more expensive.Let’s go back to Tunde’s story.
After the authorities stopped his construction, he tried to regularize his documents.
He soon discovered that the land was under government acquisition, meaning it was never meant for private use.
To reclaim it, he had to go through an expensive and uncertain process called ratification.
That process involved multiple visits to government offices, lawyers’ fees, and months of waiting—with no guarantee of success.
Even if you’re lucky enough that the land can be ratified, the total cost of perfecting the title after building is usually higher than if you had done it before construction.
You might need to pay for survey plans, excision, governor’s consent, and other documentation. Each stage involves money, time, and patience.
Financially, you could also lose everything.
If a legitimate owner appears with registered documents, you’ll have no legal claim to the land.
Nigerian courts rely heavily on documentary evidence, not just physical possession.
So even if you’ve built a house and lived there for years, the registered owner can claim it and even obtain an order to demolish your structure.
Beyond money, there’s the emotional toll. Many families have experienced sleepless nights, endless anxiety, and strained relationships because of land issues.
You can’t enjoy your property when you’re constantly worried about losing it. And in some communities, land disputes can turn violent.
So, the next time someone offers you “cheap land,” pause and ask yourself: Is it registered? Because what looks like a bargain today might become your biggest loss tomorrow.
4. How to Avoid the Trap of Building on Unregistered Land
If you truly want to avoid the painful consequences of building on unregistered land in Nigeria, you must follow due process before laying a single block.The first step is verification.
Always confirm the status of the land with the Ministry of Lands or relevant authorities in the state.
In Lagos, for example, you can conduct a land search at the Alausa Land Registry. This search will show whether the land has a valid title, is under acquisition, or has any disputes.
Second, work with professionals. Engage a registered surveyor, a real estate lawyer, or a trusted realtor who understands the terrain.
They can help you verify documents, identify red flags, and guide you through the legal requirements.Third, insist on seeing original documents before paying for any land. Don’t rely on photocopies or word-of-mouth assurances.
If your land is not under government acquisition, you can apply for ratification or regularization.
This process involves the state government officially approving your ownership and issuing a title document.
Check for the C of O, Deed of Assignment, or Governor’s Consent. And if the land is family-owned, make sure you deal directly with recognized family heads, not self-appointed agents.
Fourth, once you buy the land, register it immediately. Many people delay registration because they want to “build first and register later.”
This is risky.
Once you start construction, you expose yourself to legal issues. Registering your land protects your ownership and gives you the confidence to develop it freely.
Last, remember that due diligence is cheaper than regret. Spending a few weeks verifying land is better than losing years of hard work.
5. What You Should Do If You’ve Already Built on Unregistered Land
Let’s be realistic—many people reading this might already be living on unregistered land.
The good news is that all hope is not lost. There are legal steps you can take to regularize your property, although it depends on the specific situation.
If your land is not under government acquisition, you can apply for ratification or regularization. This process involves the state government officially approving your ownership and issuing a title document.
You’ll need to submit your survey plan, proof of purchase, and other documents. It can take time, but once completed, your land becomes legally recognized.
However, if your land is within a government-acquired area or marked for public use, things get complicated. In such cases, the government may reclaim it without compensation.
But sometimes, depending on the policy and nature of the land, you may be able to apply for excision, which means the government releases a portion of the acquired land for private ownership.
Another option is negotiation. If the land belongs to a private owner with proper documents, you can reach an agreement and purchase the land officially through a fresh Deed of Assignment. It might be costly, but it’s better than losing your investment entirely.
The key is not to ignore the situation. Visit the Ministry of Lands, talk to a property lawyer, and start the regularization process.
The earlier you act, the higher your chances of securing your property legally.Building on unregistered land in Nigeria may seem like an innocent mistake, but the consequences can be devastating.
You risk losing your property, facing legal battles, or spending double the cost trying to fix documentation problems.
The question—What happens if you build on unregistered land in Nigeria?—should not just be a curiosity; it should be a serious warning to every property owner or investor.
Real estate in Nigeria is one of the most profitable investments, but only when done correctly.
Always prioritize legal ownership over quick development. Verify, register, and secure your documents before building.
It’s the only way to truly own your land without fear or uncertainty.So, learn from Tunde’s story. Don’t rush the process.
A dream home built on shaky legal ground can easily become a nightmare. But with proper guidance, patience, and professional help, you can own property in Nigeria safely and confidently.
Dennis Isong is a TOP REALTOR IN LAGOS.
He Helps Nigerians in Diaspora to Own Property In Lagos Nigeria STRESS-FREE. For Questions WhatsApp/Call +2348164741041
Business
MAN woos CBN, MOF for manufacturing refinancing facility
The Director -General of MAN, Segun Ajayi-Kadir, made the call for the facility in a report on the manufacturing outlook for 2026.
Cover image: MAN
The Manufacturers Association of Nigeria (MAN) has called on the monetary authorities ( CBN and MOF) to introduce a Manufacturing Refinancing and Rediscounting Facility (MRRF) believing that it can reinvigorate the manufacturing sector in 2026.
The Director -General of MAN, Segun Ajayi-Kadir, made the call for the facility in a report on the manufacturing outlook for 2026.
He said that the MRRF is to enable banks to refinance approved manufacturing loans at single-digit rates for up to seven years.
He emphasised that to ensure a more robust manufacturing sector in 2026 , there was need for:
- 1. Launch a Manufacturing Refinancing and Rediscounting Facility (MRRF) that allows banks to refinance approved manufacturing loans at single-digit rates for up to 7 years.
- 2. Create a publicly accessible dashboard tracking lending flows, interest rate spreads, loan approvals and sectoral disbursement patterns in real time.
3. Further reduce the benchmark interest rate by at least 200–300 basis points over the next two quarters to make credit affordable for manufacturers.
4. Craft and ensure the effective execution of the implementation strategy for the recently approved Nigeria Industrial Policy.
5. Categorize manufacturers as strategic users of gas to remove the gap between what manufacturers and electricity generation companies pay per cubic foot of gas.
6. Introduce a stable, transparent gas pricing framework for manufacturers and prioritize local gas supply before exports.
Business
Nigeria Revenue Service unveils new logo as FIRS goes to rest
Speaking at the unveiling ceremony in Abuja on Wednesday, the Executive Chairman of the NRS, Zacch Adedeji, said the launch of the logo and accompanying brand elements represents an important milestone in the evolution of Nigeria’s revenue administration framework.
The Nigeria Revenue Service (NRS), which has replaced the now-defunct Federal Inland Revenue Service (FIRS), has unveiled its institutional brand identity (logo) as part of efforts to reposition the country’s revenue administration structure.
The agency came into operation following the signing of the Nigeria Revenue Service Establishment Act 2025 by President Bola Tinubu in June 2025, marking a major shift in the legal and operational framework governing tax administration in the country.
Speaking at the unveiling ceremony in Abuja on Wednesday, the Executive Chairman of the NRS, Zacch Adedeji, said the launch of the logo and accompanying brand elements represents an important milestone in the evolution of Nigeria’s revenue administration framework.
Adedeji noted that the new institutional identity “signals continuity of purpose, strengthened institutional capacity, and a forward-looking approach to supporting taxpayers and national development.”
Business
BREAKING: Heirs Energies Acquires 20.07% Stake in Seplat Energy from Maurel & Prom in $496-500 Million Deal
In a major shake-up in Nigeria’s oil and gas sector, Heirs Energies Limited, chaired by billionaire Tony Elumelu, has agreed to acquire the entire 20.07% equity stake in Seplat Energy Plc from French oil company Etablissements Maurel & Prom S.A.
The transaction involves the sale of 120.4 million ordinary shares at approximately £3.05 per share, valuing the deal at around $496 million to $500 million.
The binding agreement was signed on December 30, 2025, after market close, marking Maurel & Prom’s exit from its long-held position in Seplat, one of Nigeria’s leading independent energy producers listed on both the London Stock Exchange and the Nigerian Exchange.
Tony Elumelu, Chairman of Heirs Energies and its parent Heirs Holdings, described the acquisition as a “long-term investment in Nigeria’s and Africa’s energy future,” emphasizing its alignment with goals of energy security, industrialization, and shared prosperity.
Maurel & Prom CEO Olivier de Langavant stated that the sale allows the company to monetize its stake and redirect resources toward direct investments in oil and gas assets, while expressing confidence in Heirs Energies as a strong, long-term shareholder for Seplat.
Seplat Energy, a key player in Nigeria’s energy transition with significant oil and gas operations in the Niger Delta, recently bolstered its portfolio through acquisitions, including ExxonMobil’s shallow-water assets.
This deal further consolidates indigenous ownership in Nigeria’s upstream sector, following Heirs Energies’ own growth as a major gas supplier powering domestic electricity generation.
The transaction is subject to customary closing conditions and regulatory approvals.
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