Lagos Moves to Tighten Rent Rules as Tenancy Bill Clears Second Reading

Friday 26th September 2025

by inAfrika Newsroom

Lagos tenancy bill advanced this week. Lawmakers passed a second reading after a public hearing last month. The draft seeks clearer rent rules, faster case handling, and stricter standards for agents. Sponsors say the bill will cut disputes and make the market fairer. Tenant and landlord groups welcomed progress but asked for clearer enforcement tools.

The House introduced the bill in July. It aims to replace the 2011 law. Members said rapid urban growth has outpaced old rules. Lagos now faces higher rents, short supply, and long court queues. The committee will refine clauses before a final vote. Implementation timelines will follow if it passes.

A headline change targets rent shocks. The draft lets tenants challenge “unreasonable” increases at court. Eviction would pause while a judge hears the case. Lawmakers framed this as a balance: owners can raise rent with cause, but not by surprise. Lawyers say a clear test for “unreasonable” will matter in practice.

Payment terms also feature. The text proposes limits on advance rent demands from sitting tenants. The aim is to stop sudden multi-month requests that strain incomes. Advocates argue steady schedules reduce defaults and bad blood. Landlord groups want exceptions where upkeep costs jump.

Procedures would change in court. Originating summons would become standard for possession. Judges could list weekend or public-holiday sittings for urgent cases. Virtual hearings would be allowed. Mediation would be considered before trial. Supporters expect faster outcomes and fewer backlog spikes. Critics warn that affidavit-heavy steps could disadvantage tenants without counsel.

The bill also tackles unlawful occupation. It creates a route to sue “persons unknown.” That tool covers squatting and fast-moving encroachments. Estate-agent conduct would face stronger rules. The Assembly discussed standards on fees, advertising, and client funds. Practitioners asked for a clear schedule of penalties to keep the field clean.

Market players want predictability. Developers say clear rent rules and faster courts support financing. Lenders model risk off timelines they can trust. If cases resolve in weeks, not months, credit costs fall. That, they argue, unlocks more projects. If rules remain vague, the city could see fewer new units and higher effective rents.

Consumer groups back the rent-review right. They say it protects families from sharp hikes after minor repairs. They also want guidance on evidence standards. Receipts, condition reports, and local benchmarks would help judges. Clear templates can lower costs for both sides. Lawyers urge the judiciary to publish practice directions soon after passage.

The Assembly must still finalize text. It will weigh carve-outs for renovations and safety upgrades. It will set transition periods for existing leases. It will also decide how to staff mediation and virtual dockets. Once the House passes the bill, the governor must assent. Agencies would then roll out forms, fee schedules, and training.

The wider backdrop is tight supply and rising urban demand. Lagos absorbs new residents every month. Without smoother rules, evictions clog dockets and raise uncertainty. With them, stakeholders hope for faster turnover and clearer rights. The next reading will show how far lawmakers compromise between tenant relief and investor confidence. For now, Lagos tenancy bill momentum signals a push to modernize the city’s rental market.