The Nigerian Land Use Act may be old, but its impact is fresh — especially if you’re about to drop millions into real estate. With increased government oversight and recent amendments at the state level, it’s critical for modern investors to be legally literate.

This article breaks down 5 key policies within the Land Use Act that every investor — whether buying for personal use or long-term flips — must understand in 2025.

1. All Land Belongs to the Government (Technically)

Section 1 of the Act vests all land in the hands of the government — meaning ownership is not absolute. You’re essentially granted a right of occupancy, not freehold ownership.

📌 Implication:
No land is “fully yours” until it is regularized and backed by a state-issued Certificate of Occupancy (C of O).

2. The Governor’s Consent Clause is Non-Negotiable

Before transferring or selling a property with an existing C of O, the new buyer must obtain Governor’s Consent. This clause frustrates many buyers who skip due process.

📌 Implication:
Without consent, your transaction is legally incomplete — and could be revoked.

3. Land Can Be Revoked Anytime for “Public Interest”

The Act empowers the Governor to revoke land rights if it serves a public purpose (e.g., road construction, hospitals).

📌 Implication:
Buying land in areas without layout approval or estate-level planning increases your exposure to revocation risk.

4. Customary Land Still Exists — But It’s Risky

In rural and peri-urban areas, land is still often governed by traditional systems. The Land Use Act recognizes this but provides minimal protection.

📌 Implication:
Always insist on moving customary land to statutory right of occupancy through proper registration.

5. Allocation Does Not Equal Title

Getting an allocation letter from a developer or government doesn’t mean you now own land with legal title.

📌 Implication:
Your investment is only secure when your name is in the register of land titles — with supporting documents.

Conclusion

Understanding land law is no longer optional — it’s a survival tool in Nigeria’s property game. The smart investor reads policy as carefully as they read price lists.

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