Certificate Of Occupancy: The Ultimate land title.....or Not?

How relevant is the C of O as a land title? Is it worth the hype?

Please note that this article is intended solely for educational purposes and enlightenment. To properly process a land title, it is essential to consult with legal experts.

The Certificate of Occupancy (C of O) is widely regarded as the most valued land document in Nigeria, primarily because it grants an undisputed right of ownership over a piece of land. However, it's important to note that the C of O is not the only solid title or document available in the country.?

In today's article, we will delve deeper into the C of O, exploring its uses, functions, and significance. Additionally, we will debunk some common myths surrounding it and provide a comprehensive guide on how to obtain one.

What is a Certificate of Occupancy?

In Nigeria, a Certificate of Occupancy (C of O) is a crucial legal document that verifies property ownership. Issued by the state government, it officially grants the holder the right to occupy and use a specific piece of land. The C of O serves as evidence that the government has granted ownership rights to the property holder, allowing them to develop, sell, or transfer the land.

Features of a C of O document:

• Certificate of Occupancy Number: A unique identifier assigned to each C of O, used for official records and verification purposes.
• File Number: A reference number used by the issuing authority (usually the state government) to track and manage the document within their filing system.
• Plot Number: A specific identifier for the plot of land that the C of O pertains to, used to distinguish it from other plots within the same area.
• Location Details: Describes the geographical location of the plot, including the state, local government area, town, or district where the land is situated.
• Plot Size: Specifies the dimensions and total area of the land covered by the C of O, usually measured in square meters or hectares.
• Survey Plan or Graphic (Plot Shape): A detailed map or diagram that illustrates the exact boundaries and shape of the plot, often created by a certified surveyor.
• Date of Issue: The official date when the C of O was granted and issued by the government authority.
• Lease Term: The duration for which the land is leased to the holder, typically stated in years. In Nigeria, this is often 99 years.

• Initial Annual Ground Rent Fees: The initial amount to be paid annually for leasing the land, which can be subject to review and changes over time.

• Land Use Purpose: This specifies the approved use of the land, such as residential, commercial, agricultural, or industrial purposes.

• Terms and Conditions: Detailed clauses outlining the rights, responsibilities, and obligations of the landholder, including compliance with local laws and any restrictions on land use.

What are the roles of a Certificate of Occupancy and how vital is it as a document??

Legal Ownership:

It? provides legal recognition of ownership, safeguarding your property rights and ensuring your rights are indisputable and protected against any challenges or disputes. It serves as an official testament to your property’s compliance with government standards and regulations.?

It Enhances your property value:

Getting a C of O can significantly boost your property’s value. Properties with a valid C of O are seen as more credible and reliable, reducing uncertainties for potential buyers or investors. This makes it a stamp of assurance, making your property more attractive and marketable in the competitive real estate market.

It increases access to funding or financing options:

With C of O, your chances of accessing funds are greatly increased. Having a C of O opens up a world of financing opportunities. Banks and other financial institutions often require this certificate as collateral for loans or mortgages. With a C of O, you’re in a prime position to access credit facilities, paving the way for property development and further investment.

It provides Legal Protection and Dispute Resolution:

Holding a C of O gives you robust legal protection. Especially in matters of land dispute; this a C of O strengthens your legal standing, acting as a preemptive measure against potential conflicts. It provides a clear legal recourse in case of disputes, significantly reducing the likelihood of lengthy legal battles.

Land development Rights:?

Grants full rights to develop the land according to local regulations. This ensures that your property development projects are compliant with zoning laws, contributing to orderly and sustainable urban growth.

Government Revenue Generation and Urban Planning:

The issuance of C of O plays a crucial role in government revenue generation. Fees from property registration and renewals help fund urban development projects and infrastructure improvements. Additionally, the C of O is an essential tool in urban planning, ensuring developments align with zoning regulations and fostering sustainable growth in cities and towns.

Types of C of O

Yes! We have varying types of certificate of occupancy and this is determined mainly by the purpose of the land.?

Residential Certificate of Occupancy

This is also known as an individual certificate of occupancy. It typically lasts for 99 years and can be issued in your name : this feature makes it unique.

Agricultural Certificate of Occupancy

It is intended for individuals who wish to use their land exclusively for farming. In the future, it is possible to change the zoning of such lands to residential. The tenure for an Agricultural Certificate of Occupancy is typically 25 to 28 years.

Industrial Certificate of Occupancy

This type of certificate is issued solely to industries and it lasts for 35 years. To obtain it,? the land must be situated in less populated areas of the state to mitigate pollution risks.

Family Certificate of Occupancy

In Lagos, certain families possess what is known as a Family Certificate of Occupancy. Unlike other types, this certificate does not have a tenure. It is granted by the government based on the family's reputation.

Government Allocation

You may come across lands designated as having government allocation. Each government allocation will eventually lead to the issuance of a Certificate of Occupancy (C of O). Essentially, government allocation is a preliminary step that culminates in obtaining a C of O.

This title can be issued to? companies, reputable persons, government? ministries or foreign investors. If you come into the country to invest, the government can allocate land to you, eliminating the need to purchase from individuals.?

It's crucial to understand that "Government Allocation" is not a unique type of Certificate of Occupancy (C of O) by itself. Instead, it represents the initial method through which the land was acquired. The final C of O will specify the intended use of the land, whether for residential, industrial, or other purposes.

A Global Certificate of Occupancy (Global C of O)

This serves as proof of ownership for a substantial piece of land, typically obtained by a real estate firm. It differs from the individual Certificates of Occupancy in several key ways:

• It encompasses an entire estate or development, rather than just a single plot.
• It? is usually issued by the state government to the developer or owner of the entire estate, not to individual plot owners.
• When purchasing a plot within a Global C of O area, you won't receive a personal C of O. Instead, you'll get a Deed of Assignment from the developer, which confirms your ownership of the specific plot within the larger estate.
• The Global C of O verifies ownership of the entire property. In this context, a Deed of Assignment is sufficient for transferring ownership of individual plots.

REQUIREMENTS FOR CERTIFICATE OF OCCUPANCY (C Of O)?

The process and requirements for obtaining a Certificate of Occupancy (C of O) vary by state. Here, we outline the specific requirements for Lagos.

1. Receipt for Land Information Fee: Pay the necessary fee to obtain the Land Information Certificate

2. Receipt for Application Form: Acquire and accurately complete the C of O application form.

3. Land Information Certificate: This document verifies the land's status and history, providing essential information about the property and its previous owners

4. Publication/Inspection Fee: Pay the fee for the publication and inspection of your C of O application, which includes a public notice to inform interested parties.

5. Land Purchase Receipt/Agreement (Duly Stamped): Present the legally stamped receipt or agreement confirming your land purchase and ownership.

6. Copy of Current Tax Clearance Certificate (Individuals): Provide a copy of your current tax clearance certificate to show compliance with tax obligations.

7. Capital Contribution: The capital contribution fee, determined by the size and location of the land, must be calculated and paid accordingly.

8. Copy of Development Levy Receipt: Submit a copy of the receipt for the development levy.

9. Site Location Sketch: Provide a clear and accurate site location sketch, outlining the land's boundaries and dimensions.

10. Four Passport Photographs of Applicants with White Background: Supply four recent passport-sized photographs with a white background.

11. Copy of Tenement Rate Receipt (if Occupied) or Land Use Charge: If the property is occupied, submit proof of payment for the tenement rate or Land Use Charge.

12. Copy of Approved Building Plan (if Developed): Include a copy of the approved building plan if the land has been developed.

13. Cover Letter Addressed to the Executive Secretary, Land Use Allocation Committee (LUAC): Draft a cover letter to the Executive Secretary of the LUAC, listing all attached documents and providing your contact details.

By meticulously following these steps and ensuring all required documents are in order, you can successfully apply for a Certificate of Occupancy in Lagos. Of course, it's advised to seek legal counsel and expertise in these matters.

The Process of Obtaining a Certificate of Occupancy in Lagos State:

Step 1: Submission of Form and Documents

Begin by purchasing and duly filling out the C of O application form. Submit the completed application along with all required property documents. Ensure these are submitted to the appropriate department responsible for processing C of O applications.

Step 2: Payment of Government Assessment Fees

After submission, you will be informed of the applicable government assessment fees based on the location and size of your land. Make the necessary payments as instructed.

Step 3: Publication of Names

Once your documents and fees are submitted, the government will publish the names of C of O applicants in a newspaper. This serves to notify the public and allows for objections or disputes to be raised within a specified period, typically 21 days.

Step 4: Site Inspection on the Property

Government officials will conduct a site inspection to verify property details and compliance with regulations. Ensure your property meets all requirements to avoid any impact on your C of O processing.

Step 5: Processing of the C of O Title

Following the inspection, the responsible department will start processing the individual C of O applications. This involves document verification, compliance confirmation, and certificate preparation.

Step 6: Signing of the C of O Certificate

After processing, the C of O certificates are submitted to the Lagos State Governor for official signing, a crucial step in validating the C of O.

Step 7: Registration and Collection of the C of O Certificate

The signed C of O certificates are stamped, registered, and documented. Applicants will be notified when their C of O certificates are ready for collection. Follow up with relevant authorities to track the progress of your application and determine its current stage.

The timeline for obtaining a C of O in Lagos State can vary based on government efficiency and the accuracy of submitted documents. Thoroughness in each step and prompt addressing of any issues will help expedite the process and ensure successful acquisition of your Certificate of Occupancy.

It is important to note that despite the importance of the C of O document /title, it’s is not the only valid land title Nigeria. Others like Governor’s consent , freehold ,approved excision and gazette are valid as well.

There are also conditions that nullify a C of O. For instance, it can be declared not valid if it does not meet the following criteria:

• The holder of the title must hold pre existing ownership of the land.?
• The holder must have acquired the legal or customary interest of the owner of the land; there is always an owner of the land, individual, family, community or government.
• The equitable or legal interest of the customary or legal owner must have been revoked before the certificate is given to you.?
• The notice of the revocation must have been personally given to anyone with pre existing interest in the land- he must receive notice of intended revocation
• The person in receipt of the notice must have been given the opportunity to make representation
• You must have paid compensation to the person on the land
• The revocation must be for public purpose.
• The public purpose for which the land is required must be spelt out in the notice of revocation.

In consideration of the 1978 constitution that vests all right of land to the government, the C of O is a title that officially gives this right back to the owner for a general duration of 99 years. Nonetheless, as earlier stated, it is not the only valid or good title. However it’s diverse roles and functionalities are what renders it the seemingly ultimate land title.?

Here are a few Key things to note about the C of O:

• The ideal duration for a C of O is 99 years, nonetheless, this can differ depending on the purpose of the land.
• Only one C of O can be issued on a land. If a land with this title is sold to another buyer, the new owner cannot process another C of O on the land , at least not until the present one expires. what the new owner will be entitled to is a governors consent.
• A standard C of O exists for 99 years, there’s an ongoing debate / speculation as to what happens next after the 99 years elapses. However, this does not have a definite answer because the first batch of C of O documents was issued in 1978 and we still have 53 years more before the duration elapses or the documents expire. Nonetheless, a renewal is most likely.?
• It can not be issued by a state government?, the state's Land Bureau or Ministry of Lands, which regulates land use and ownership.
• For any significant development or construction on the land, a C of O is often required to obtain necessary permits and approvals.
• For a C of O to be considered valid, there must be an approved record of the rights of the land being transferred from the first owner (individual, government, community or family) to the applicant.

A distinctive feature that separates C of O from every other land title is that no land can bear the same C of O document because it is first issued on land that has never been registered at the land registry.

The Certificate of Occupancy is indeed a cornerstone document for property ownership in Nigeria. However, it's essential to recognize its role among other valuable land titles. By understanding its functions and how to obtain it, you can navigate the real estate landscape more effectively.

I hope this has been both an interesting read and an educative one.

As always, I anticipate your questions and contributions.

Till I write you again, Do stay safe.

Warm Regards,

Tomi Samson.

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