Our Stand (74) —
The Real Estate Regulatory Bill scaled its second reading at Nigeria’s House of Representatives, having passed third reading at the Senate. First, we must acknowledge this as a welcome development to stakeholders/professionals in the housing industry, especially, the Real Estate Developers Association of Nigeria (REDAN) for putting in a good shift, being dogged in seeing that the House of Reps follow suit on what the Senate had already done (scaling third reading). We say bravo to REDAN and its EXCO members.
The bill for an Act to Establish the Real Estate Regulatory Council of Nigeria (RECON) which emanated from the Senate was presented by Deputy Majority Leader of the House, Peter Akpatason (APC-Edo) who said the council, when established, would provide efficient, effective and transparent administration of the business of real estate development and that the council was also expected to prescribe minimum standards for the conduct of the business of real estate development in Nigeria, matching global standards.
It is hopeful that since the Bill was read in the committee of the whole, Wednesday 31st May, 2023, it is anticipated that it will become a success at a time we know real estate business in the country needs strict regulations from an authorised body, at least, for the interest of Nigerians who fall prey to dubious, unprofessionals claiming to be real estate developers or agents.
It will also serve against defaulting developers, in terms of punishment for failing to adhere to standards under the building ethics code. It will curtail or even stop the rising trend of building collapse Nigerians wake up to hearing frequently.
Also, it is not in the unusual to understand that once this bill has been concurred to, by the House of Representatives, barring any last minute unforeseen challenge, and assented to, by the President of the country, Bola Ahmed Tinubu, a regulatory agency for real estate business in the country will be set up that would put out stiff penalties against defaulters of the building code ethics.
At the moment, it still remains a bill that is yet to become a law, going by the processes it still has to cover to become legal binding. As such, the president of the Real Estate Developers Association of Nigeria (REDAN), Alh. Aliyu Wamakko should not delight yet because, the bill is yet to scale third reading before getting approval from the executive arm of government.
The ninth National Assembly is expected to wind down this week, where it will see the House of Representatives holding its valedictory session on Tuesday, with the Senate having theirs on Wednesday.
It is expected of the Senate President, Ahmad Lawan to adjourn sitting at the Red Chamber indefinitely, while the Speaker of the House, Femi Gbajabiamila, will close the Green Chamber on Thursday.
The 10th Assembly is billed for inauguration on June 13, 2023, when a new set of presiding officers will be either adopted or elected.
However, with the wrangglings within the ruling APC pertaining who will constitute the 10th National Assembly, it is likely that it may delay the commencement of business activities for the new assembly.
In the senate, it is believed that Godswill Akpabio, representing Akwa-Ibom South-South is the leading candidate for the Senate Presidency,while Jibrin Barau, representing Kano North-West, is a contender for the position of Deputy Senate President.
At the House of Representatives, Tajudeen Abbas, representing Kaduna North-West is vying for Speakership position, as Benjamin Kalu, representing Abia South-East is contending for the position of Deputy Speaker.
This, added with other opposing voices vying for leadership positions for the 10th National Assembly could derail or slow the commencement of full business activities.
Also, a striking observation. Going by what the House of Reps revealed during the second reading of this bill, quoting the Deputy Majority Leader of the House, Peter Akpatason, “…provide globally acceptable standards of service and transparent administration of the business of real estate development and prescribe minimum standards for real estate sector, conduct of the business of real estate development in the Federal Capital Territory and for related matter”, would the supposed law only be binding on real estate businesses in the nation’s capital or nationwide? How about developers in other states? This is an observation, a loophole that the bill is yet to address and cover the Nigerian states.
