Navigating Non-Titled Land Acquisition in Nigeria

Nigeria's land tenure system, governed by the Land Use Act, places all land under the control of state Governors, held in trust for the people. Over 90% of land in Nigeria remains unregistered and untitled, primarily under Customary or Possessory rights, which the Minister of Housing and Urban Development stated in 2024 represents “dead capital” exceeding $300 billion.

This situation creates challenges for corporate entities seeking land for industrial development, as titled land is scarce. Acquiring non-titled land involves significant legal risks, including competing family claims and unresolved government acquisitions, with the path to title perfection taking 12 to 24 months and transaction costs reaching 10 to 20% of property value.

Non-titled land ownership relies on fragmented evidence such as deeds and family resolutions, lacking the certainty provided by titled land. Due diligence for non-titled land must be more rigorous, particularly in regions like South-Western Nigeria, where communal ownership is common.