Statutory Exclusive Preserves of the Estate Surveyor & Valuer in Nigeria.

1.0 Introduction:

First, for proper assimilation, we must really understand what an Estate is, and who an Estate Surveyor & Valuer (ESV) is, without which the purpose of this article would not be achieved. The word Estate as commonly referred to by the layman is a building or group of buildings used for residential, industrial, and other purposes. This is not totally correct as it only covers just a part of the true definition. The authentic definition globally and formally acceptable is the legal definition in common law, which defines an Estate as the net worth of a person(s), including a corporate entity at any point in time alive or dead. It is the sum of its assets - legal rights, interests, and entitlements to property of any kind, less all liabilities at that time. Furthermore, an ESV is a professional who has acquired the required knowledge and training of Estate management and valuation at a higher institution level either within Nigeria or in any foreign recognised institution and attained at least the status of an Associate of the Nigerian Institution of Estate Surveyors and Valuers (NIESV) and is duly registered by the Estate Surveyors and Valuers Registration Board of Nigeria (ESVARBON) under the Act (Estate Surveyors & Valuers [Registration, e.t.c.] Act. Cap E13 LFN 2004).

The ESV is wrongly perceived by many as only a property agent in the society, selling and letting lands and buildings, because that is the limit of their understanding. Yes, property agency is one of the statutory exclusive preserves of the ESV, but we must be aware that the scope of his competence is far beyond the capacity of property agency.

2.0 The Exclusive Preserves of the ESV

As clearly stated in the 1999 Constitution of the Federal Republic of Nigeria (as amended). Chapter 1, Part 1, section 1 (1) that; “This constitution is supreme and its provisions shall be binding force on the authorities and persons throughout the Federal Republic of Nigeria”.

Chapter 1, Part 1, section 1 (3) states that; "If any other law is inconsistent with the provisions of this Constitution, this Constitution shall prevail, and that other law shall, to the extent of the inconsistency, be void."

In the second schedule, part 1 of the exclusive legislative powers vested in the National Assembly. Item (49) on the exclusive legislative list states that and includes; "Professional occupations as may be designated by the national assembly".

Furthermore, section 16(1)(a)(b) of the Estate Surveyors & Valuers (Registration, e.t.c.) Act. Cap E13 LFN 2004 by the National Assembly (formerly decree 24 of 1975) established the statutory exclusive preserves of the profession of Estate Surveying and Valuation, alongside with section 7(1), 12(a),(b), 31(a) to (f) of its supplementary legislation (Estate Surveying and Valuation Regulations 2014) as provided for in section (18) of the original Act (Estate Surveyors & Valuers [Registration, e.t.c.] Act). They are as follows;

a)    Determining the value of all kinds of property assets (corporeal and incorporeal, moveable and immovable, real and personal, embracing land, buildings, plants and machinery, furniture and fittings, equipment) and all other business assets.

b)    Acquiring, managing and developing of estates including facilities management and other business concerned with the management of property assets.

c)     Securing the optimal use of land and its associated resources to meet social and economic needs.

d)    Determining the condition of buildings and their services and advising on their maintenances, alteration and improvement.

e)     Determining the economic use of property assets and its associated resource by means of financial appraisal.

f)     Selling, buying or letting as an agent, real or personal property or any other interest therein.

It implies that it is “ONLY” an ESVARBON registered ESV that is permitted by the highest law of the land to carry out these functions, and it would be illegal, unconstitutional and punishable by law for any other person(s), or firm to function in these capacities without been duly registered under this Act. The functions of the ESV are not limited to the above mentioned, among other areas of competence, the ESV is also empowered by law to prepare contract documents for sale and letting of land or building. In the case of letting the contract document he can prepare is limited to two years term.

The ESV is a noble professional, this cannot be overemphasized by virtue of the nature of his function and contribution to the economic development of the society and the nation at large. A very high level of trust and confidence is bestowed, and high expectations anticipated from him.

3.0 The Public Sector

The provisions of the law ought to be respected and complied with by all, for orderliness, cooperation, and the rule of law to prevail thereby fostering National development. Government MDAs (Ministries, Departments and Agencies) should be the pace setters in compliance with the law, by ensuring only specified professionals by law are engaged in providing specified services within their areas of statutory exclusive preserves. Since they are direct representatives of government at various levels, these provisions of the law ought to be fully implemented by them to the letter, to serve as a guide for the uninformed and other stakeholders in the Nigerian economy to follow, even the private sector. As it is observed today, the ESV is grossly under utilised in the Nigerian public sector. The ESV ought to be positioned at all levels of government (federal, state and local) as core advisers on the way forward in the areas of housing policy formulation and implementation, estate development planning and implementation, determining optimal land use in urban and rural areas, land administration, disposal of government owned assets, facilities management of government properties, compensation in the case of compulsory acquisition, valuation of all government asset classes for all purposes, including valuation for public asset declaration by public officers, property taxation, inventorization of government assets. These are areas where the ESV is most competent by virtue of his acquired knowledge, skills and training. Section (16) and (17) of the Estate Surveyors & Valuers (Registration, e.t.c.) Act says it is illegal, unconstitutional, and punishable by law for any person(s) that is not an Estate Surveyor and Valuer to carry out any of this functions, or to hold appointment requiring the status of the ESV, hence more reason why these facts ought to be taken very seriously.

4.0 The Private Sector

The private sector, which is unarguably the major catalyst of National development of most nations of the world, as most economic activities take place from it, and all happening on land. The ESV is highly equipped in the management of land and land resources, and it would be profitable for individuals and private organisations to utilise his expertise especially in the areas of valuation of all kinds of asset class (land, building, plant, equipment, machinery, personal properties, stocks, shares, intellectual property, e.t.c.) for all purposes (acquisition, alienation, mortgage, financial statements, probate, insurance, e.t.c.), advising on the highest and best land use or optimal land use, determining property condition, renovation and remodelling, property management, facilities management, property acquisition and disposal, land title registration and documentation, real estate investment advise so as to make the most viable decisions. The ESV’s knowledge and deep understanding of the real estate economy and how it works distinctively positions him to best advice in these areas.

5.0 The Latent Impacts of Encroachment

The role and importance of the real estate sector in the growth of the Nigerian economy are so significant that they cannot be overemphasized. The sector is so promising with unquantifiable opportunities, hence everyone wants to be a participant either through the front or back door.

Same way it is unspeakable to engage a mechanic for a human surgical operation, a cobbler for a building design, an astronaut for a road construction, so it is to engage a non-Estate Surveyor and Valuer for the services within his area of professional competence clearly stated above. The effects of this misnomer go far beyond the immediate relationship between the direct parties involved. The sooner or later failure/shortcomings of individual investments are further transferred to the macro-economic cycle infinitely. As no rational investor/market actor wishes to bear the burdens of their financial woes, either originated or inherited. So goes the cycle on and on. It goes as far as causing massive macro-economic disruptions, resulting in grievous outcomes in economic indices like uprising inflation rates, diminishing GDP per capita among others, and market misrepresentations here and there. If quackery associated casualties of just three individual misguided investors/market actors can transcend to be the catalyst of aggravating significant disparity of market rent in a local community. Then one can imagine the enormity of unascribable economic catastrophes caused by quacks through a thousand misguided investments/market actors.

Prices of commodities, even basic necessities like food do not just double or skyrocket if nothing triggers them. The extreme scale of this misnomer is one of the major unaddressed causes of many unexplainable discomforts that hits every household in Nigeria today, irrespective of their economic class.

6.0 Conclusion

As observed in the Nigerian private and public sector, that the full capacity of the ESV is largely underutilized. Coupled with activities of charlatans having a field day in encroaching the statutory exclusive preserves of the ESV. Hence bringing jeopardy to the image of the profession, inflicting damages and loss to Nigerians, the Nigerian economy, and other misfortunes associated. These have been enhanced by some government MDAs and private organisations who engage non ESVs to carry out services that the highest law of the land has restricted only to be executed by ESVs.

It is illegal and punishable by law for any person(s) that is not an Estate Surveyor and Valuer to carry out any of these functions. More seriously it is even detrimental to the well-being of a typical Nigerian household, and the advancement of our dear economy, hence more reason why these facts are to be taken very seriously.

This misnomer must be highly discouraged and corrected, by enforcing set measures against this encroachment to serve as a deterrent to violators, hence restoring the sanctity, goodwill, true professionalism of the ESV, the overall well-being of the Nigerian household, and the Nigerian economy at large.

Individuals and leadership of organisations both in the public and private sector are highly encouraged to take advantage of the expertise of the ESV and engage him for services especially within areas of his statutory exclusive preserves to derive maximum value, curtail loss of their resources, and redirect the course of our dear Nation towards attaining enviable heights among the league of Nations.

BIBLIOGRAPHY:

FGN (2004). Estate Surveyors and Valuers (Registration, e.t.c.) Act.  Cap   E13. Laws of the Federation of Nigeria 2004.

FGN (2014). Estate Surveying and Valuation Regulations. Federal     Republic of Nigeria Official Gazette. Vol. 101(No. 66). Pg. 12. The Federal Government Printer, Lagos. Nigeria.

FRN (1999). Constitution of the Federal Republic of Nigeria (as amended). Federal Government Press, Apapa, Lagos. Nigeria.

NIESV (2012). Constitution of the Nigerian Institution of Estate Surveyors and Valuers (as amended)