Consumer Protection: Lagos introduces new tenancy bill to regulate rent, agency fees

*The Lagos State Government moves to protect consumers, formulate new law to curb arbitrary rent increases, illegal charges, and other exploitative practices against in real estate sector of the economy

Isola Moses | ConsumerConnect

Against the backdrop of recent hikes in office, accommodation rent, the Lagos State Government (LASG) has unveiled a regulatory framework for a new-fangled tenancy law across the cosmopolitan state.

ConsumerConnect reports the Lagos Government said as part of consumer protection measures, the new law would be formulated to curb reported arbitrary rent increases, illegal charges, and other exploitative practices against consumers in the real estate sector of the economy.

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Moruf Akinderu-Fatai, Lagos State Honourable Commissioner for Housing, revealed this development at the 2026 Ministerial Press Briefing at Alausa-Ikeja.

Akinderu-Fatai explained the proposed rent legislation, which is currently before the Lagos State House of Assembly (LSHA), is intended to address growing concerns over excessive rent hikes, arbitrary agency fees, and fraudulent practices by unregistered estate agents operating in the state.

He also said the tenancy bill is currently at the Committee Stage in the House of Assembly.

It is expected to introduce major reforms capable of sanitising the housing and real estate sector in Lagos.

The Commissioner for Housing further disclosed that one of the key provisions of the proposed law would make it mandatory for all estate agents operating in Lagos to register with the Lagos State Real Estate Regulatory Authority (LASRERA).

The state government said operating in the industry without registration would become a punishable offence once the bill becomes law.

Underscoring the importance of the measure, Akinderu-Fatai said the move was aimed at tackling the activities of unregistered agents being accused of exploiting tenants through excessive charges, multiple sales of properties, and other fraudulent transactions in Lagos State.

The new law, he stated, would also fast-track tenancy disputes through the introduction of weekend and public holiday sittings for tenancy-related matters.

The Commissioner said when passed, the proposed law would apply across all parts of Lagos State without exemption.

In the new tenancy regime, tenants seeking legal action against landlords and landladies would also be required to provide proof of rent payments, and updated utility bills before initiating court proceedings.

Akinderu-Fatai noted the Lagos State Government is committed to restoring sanity, transparency and accountability in the real estate sector while protecting tenants, residents, and other consumers from exploitation.

Meanwhile, the Commissioner has said that LASRERA also intensified enforcement against fraudulent operators.

The agency recovered over N270 million from fraudulent estate agents between 2025 and 2026, said Akinderu-Fatai.

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