BUSINESSNEWS

Lagos Generates ₦80bn from Building Approvals

Share
Advertisements

The Lagos State Government says it generated about ₦80 billion from building approval permits in 2025, reflecting increased compliance with planning regulations and renewed efforts to strengthen urban development across the state.

Commissioner for Physical Planning and Urban Development, Dr. Oluyinka Olumide, disclosed that the revenue was derived from planning permits, approval charges, and related regulatory fees processed by the Lagos State Physical Planning Permit Authority (LASPPPA).

According to the commissioner, the state has intensified efforts to ensure that developers obtain the necessary approvals before commencing construction projects.

He noted that the drive is aimed at promoting orderly development, preventing building collapses, and improving safety standards in the rapidly expanding metropolis.

Olumide said the government had approved more than 37,000 building permits over the past six years, covering residential, commercial, mixed-use, and institutional developments.

In 2024 alone, approvals were granted for dozens of hospitals, schools, shopping malls, and petrol stations, demonstrating continued growth in the state’s construction sector.

The commissioner attributed the rise in approvals partly to the state’s building regularisation and amnesty programme, which encouraged property owners to obtain proper documentation and legalise previously unapproved structures.

The initiative recorded thousands of applications and approvals within months, significantly increasing compliance levels among developers.

He reiterated that buildings erected without planning permits remain vulnerable to enforcement actions, including demolition.

The government has repeatedly warned that structures developed in violation of planning regulations, setback requirements, or land-use provisions will not be spared from sanctions. Officials say the policy is necessary to curb indiscriminate construction and protect public safety.

Lagos authorities have also expressed concern about the gap between the number of developments taking place and the volume of permit applications received annually.

The state estimates that it requires between 40,000 and 45,000 building approvals each year to keep pace with population growth and urban expansion, but actual applications remain significantly below that target.

The revenue generated from building approvals contributes to Lagos State’s broader internally generated revenue profile, which reached record levels in 2025 as the government expanded digital processes and strengthened revenue collection systems.

 

 

READ TOP STORIES