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The control of foreign ownership of landed property in Nigeria is regulated by the Acquisition of Lands by Alien Laws of respective States, while the ownership of land generally is regulated by the Land Use Act of 1978. By virtue of Section 1 of the Land Use Act 1978, all lands in Nigeria are vested in the Governor of each state. Section 1 of the Land Use Act provides that;
It therefore follows that a non-Nigerian is precluded from benefiting from the provisions of the Land Use Act of 1978.
The Acquisition of Lands by Alien Law (ALAL) of Lagos by Section 8, defines an “alien” as
The Supreme Court of Nigeria in the case of Gerhard Huebner V. Aeronautical Industrial Engineering and Project Management Company Limited (2017) LPELR-42078(SC) held that Section 1 of the Land Use Act specifically limits the ownership of land in Nigeria to Nigerians. Therefore, a non-Nigerian cannot apply for a statutory or customary right of occupancy. This further reaffirmed the position of Section 1 of the Land Use Act to the effect that it was promulgated for the benefits of Nigerians. The Supreme Court in the above further held that the Land Use Act did not repeal any laws which limit the right of foreigners to own land.
Considering the above limitations, foreigners may still be able to acquire lands or landed properties in Nigeria.
In Lagos State, the Acquisition of Lands by Aliens Law by Section 1, 2 and 3, limits the acquisition of land or interest in land by foreigners except the acquisition of land by an alien is approved in writing by the Governor, save where the interest in land sought is for less than three years which includes any option to renew.
Summarily, a foreigner can acquire land or interest in land from a Nigerian, provided the written approval of the Governor is first sought and obtained before the relevant instruments are executed.
It is important to note that it is within the discretionary power of the Governor to grant the written approval.
Finally, it is pertinent to note that a foreigner can by an application to the Governor of Lagos State, be exempted from the provisions of the Acquisition of Lands by Aliens Law. The Governor of other states can also grant similar approval to aliens towards the acquisition of land in their respective states.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
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