The Real Estate Developers Association of Nigeria (REDAN) has challenged surveyors on the proposed increment in the cost of preparing survey plans for land across the country. If the plan is implemented, land owners and investors will be paying as much as a million naira for a single plot of land, even in rural areas of Lagos State and other zones, from April 1, 2017. This is because surveyors met and decided to increase the cost of survey plans by about 300%.

In a letter to the surveyors dated March 24, 2017, counsel to REDAN and human rights activist, Ebun-Olu Adegboruwa, asked the surveyors to suspend the implementation of the proposed increment, in order to give room for further interaction and dialogue, with all stakeholders in the building industry. REDAN also made a case that the increment will have a ripple effect on the cost of land as other professionals involved in the real estate business such as lawyers, architects, engineers, etc, will also increase the cost of their own services, which will all be borne by the end users. It will also rubbish the efforts of government towards achieving affordable housing, the association said.

REDAN therefore appealed to the surveyors to convey a meeting of all stakeholders in order to discuss and agree on the best modality for any review of professional fees in land related matters. Adegboruwa however warned that REDAN will challenge the proposed increment in court, should the surveyors insist on implementing the policy as stated.

Part of the letter reads: “Our clients consider it improper to increase the cost of survey plans at this time of economic recession, especially considering the ripple effect that such a step may have on other stakeholders within the built industry, such as architects, engineers and lawyers, etc, who are also members of their association. The planned increment will also impact negatively on the policy of affordable housing being promoted by the present administration at all levels. Our clients have also consulted the various statutes regulating this matter and they are yet to be convinced of the legal basis of this increment at this time.

“Consequently, we have our clients’ instructions to request you to kindly prevail on your organisation and its members to suspend the implementation of this policy and to allow for further interactions, dialogue and discussions, between all the relevant stakeholders in the real estate business. In compliance with statutory requirement to explore alternative dispute resolution mechanism, kindly indicate to us in writing within five clear days of your receipt of this letter, of your kind disposition towards the meeting suggested herein, failing which we have our clients’ further instructions to take out a writ of summons in court to determine the legality of such increment, to take out an order of injunction to restrain the implementation thereof and to determine other ancillary legal issues.”

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