Lagos State’s real estate market is abuzz over the proposed Lagos State Tenancy and Recovery of Premises Bill 2025, a comprehensive update to the 2011 Tenancy Law. Aimed at tackling issues like excessive advance rents, agent fraud, and protracted eviction battles, the bill promises fairer rental practices in Africa’s largest city.
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However, as of December 1, 2025, it remains in draft form after passing its second reading in July and referral to the House Committee on Housing. No final passage or signing into law has occurred yet.
This reform comes amid Lagos’ housing crunch, where high demand fuels exploitative practices. Below, we break down the bill’s major changes, their implications, and enforcement mechanisms.
Key Provisions at a Glance
| Provision | Details | Who It Affects | Penalties for Violations |
|---|---|---|---|
| Agent Regulation & Fee Cap | All agents must register with LASRERA. Fees limited to 5% of annual rent. Funds to landlords within 7 days; receipts mandatory. | Agents, tenants, landlords | Up to ₦1M fine, 2 years imprisonment, or both |
| Advance Rent Limits | New tenants: Max 1 year upfront. Sitting tenants (monthly payers): Max 3 months. | Tenants, landlords | ₦1M fine or 3 months imprisonment for offering/accepting more |
| Ban on Harassment & Illegal Evictions | No “self-help” tactics (e.g., cutting utilities, seizing property, or using thugs). Court order required for evictions. | Tenants, landlords | ₦1M fine or 6 months imprisonment |
| Challenging Rent Increases | Tenants can sue for “unreasonable” hikes; courts consider local rates, evidence, and property specifics. No eviction during disputes. | Tenants, landlords | N/A (civil remedy) |
| Faster Dispute Resolution | Filings via summons; hearings in 14 days; weekend/virtual courts; mediation ≤30 days. | All parties | N/A |
| Refundable Charges & Transparency | Biannual accounting of service charges/deposits; refunds unless damage proven. | Tenants, landlords | N/A (enforced via courts) |
| Tenant Rights Expansion | Privacy, peaceful enjoyment, common area access, compensation for improvements. | Tenants | N/A |
These rules build on the 2011 law but go further by professionalizing agents and streamlining court processes potentially cutting eviction timelines from years to months.
Why It Matters
- For Tenants: Relief from debt-trapping advance rents (e.g., 2+ years upfront) and sudden 50–200% hikes. Protections against scams, such as the 2019 ₦900K fraud case reported by PREMIUM TIMES.
- For Landlords: Clearer eviction pathways and rent challenge guidelines reduce abuse claims, though they must adapt to caps and transparency rules.
- For Agents: Mandatory registration ends the “wild west” era, but compliant professionals could see more trust and business.
Critics worry enforcement in a high-demand market might falter without stronger monitoring. Groups like Spaces for Change have pushed for clearer rent hike timelines. Still, experts hail it as a step toward balanced housing.
The bill awaits committee review and full assembly debate. Stakeholders should watch the Lagos House of Assembly for updates. Until enacted, the 2011 law governs—meaning advance rent caps are not yet enforceable.
For the full draft, visit the Lagos House of Assembly website.
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