The Lagos State Government yesterday released new rates for processing of land titles in Lagos in respect of State Land. This review she says is designed to enhance the ’30 day Governor’s consent’ program by ensuring transparency, reduce cost to investors and ease the process. According to the Government Notice, the reviewed procedure will also make land titling less burdensome.

                               

1. GENERAL ASSESSMENT GUIDE

Under the new regime, there are now two methods of calculation of the applicable fees:

1. Spot Assessment: for developed properties in designated areas of the state ( Old  Ikoyi, S.W. Ikoyi, Victoria Island , Victoria island Annex, Dolphin Estate, Lekki 1, Park view Estate, Apapa and Ikeja GRA) the government has indicated flat rates per unit of accommodation; while
2. General Assessment: for undeveloped land in the aforementioned areas and in other parts of the State, the rates are fixed per Square Metre. 

 

The new applicable charges are as follows:

 

Consent fee   (non mortgages)       -           8% of assessment

Capital Gains Tax                            -           2% of assessment[1]

Stamp Duty                                       -           2% of assessment[2]

Registration fee                                -           3% of assessment

 

Total                                                   -           15%

 

Consent fee   (Mortgages)               -           0.02% of the Loan.

 

The Assessment is a multiple of the land area and applicable rate or, in the case of   Spot Assessments, the flat rate indicated for the type of accommodation in the designated area. However, in cases where the indicated consideration is higher than the rate, then the consideration will be the assessment.

 

According to the Government Notice, twice the indicated consent fee is payable in respect of transfers of State Land within the first ten years of the issuance of the Certificate of Occupancy.

 

 

2. CALCULATION OF FEES

 

(I) SUBLEASES OVER 40 YEARS, ASSIGNMENTS AND POWERS OF ATTORNEY

The fees payable are as indicated above.

 

(II) MORTGAGES

Consent fee is calculated at the rate of N 20,000.00 (Twenty Thousand Naira) for each N1, 000,000.00 (one million Naira) of loan.

 

(III) SUBLEASES UNDER 40 YEARS

To determine the consent fee

(a)   Divide the assessment by 40,

(b)   Multiply the dividend by the number of years of the lease.