The Land Use Act is a law enacted in Nigeria in 1978 with the primary aim of regulating the use and management of land. The Act vests all land within the territory of each state of the federation in the hands of the state governors, who hold them in trust for the people. While the Land Use Act has helped to create a more structured land management system, there are certain provisions within the Act that have been identified as impediments to housing development in Nigeria.

The following are some of the key provisions in the Land Use Act that are impeding housing development in Nigeria:

Consent Requirement: One of the major provisions of the Land Use Act that is impeding housing development in Nigeria is the consent requirement. Under the Act, developers are required to obtain the consent of the state governor before they can transfer, mortgage, or sub-lease any land. This provision has been identified as a major bottleneck in the development of housing, as the process of obtaining consent can be bureaucratic, time-consuming, and expensive. The requirement for consent has often led to delays in the development of housing projects, which in turn drives up the cost of the project.

Restrictions on Use of Land: Another provision of the Land Use Act that is impeding housing development in Nigeria is the restriction on the use of land. The Act empowers the state governor to revoke any rights of occupancy if the land is not being used for the purpose for which it was granted. This provision has made it difficult for developers to change the use of land from one purpose to another. For example, a developer may be unable to change the use of a piece of land from agricultural to residential, even if the area is in high demand for residential development.

Compensation for Acquisition: The Land Use Act requires that any person whose land is acquired by the government or any other person is entitled to compensation. However, the Act does not specify the method of determining the compensation payable. This has led to disputes over the amount of compensation payable, which in turn has slowed down the acquisition process for land required for housing development.

Limited Access to Land: The Land Use Act has been identified as a key impediment to housing development in Nigeria due to limited access to land. The Act vests all land within the territory of each state in the hands of the state governors, who hold them in trust for the people. This means that developers have limited access to land for housing development, as the state governor has the power to allocate land as they deem fit.

Inefficient Land Administration: The Land Use Act has been criticized for its inefficient land administration system, which has made it difficult for developers to obtain title to land. The process of obtaining a Certificate of Occupancy (C of O) can be lengthy, and the cost of obtaining a C of O can be high. This has made it difficult for developers to obtain title to land, which in turn has limited their ability to access funding for housing development.

In conclusion, the Land Use Act has played a significant role in shaping the land management system in Nigeria. However, there are certain provisions within the Act that have been identified as impediments to housing development. The Act requires review to address these provisions and make it easier for developers to access land for housing development.