Enugu, Nigeria – February 25, 2025 – The Enugu State House of Assembly has taken a significant step toward addressing the rising concerns over exorbitant house rents and unregulated real estate practices in the state. On Tuesday, a Private Member Bill sponsored by Hon. Anthony Okey Mbah was read for the first time, proposing amendments to the Landlord and Tenant Law, Cap. 101, Laws of Enugu State, 2004. Dubbed the Landlord and Tenant (Amendment) Bill, 2025, the legislation aims to protect tenants, regulate housing agents, and promote affordability in Enugu’s real estate market.
The bill, which is set to come into effect on a date yet to be specified in 2025, introduces several key reforms. It mandates that anyone wishing to operate as a land agent or manager in Enugu State must obtain a permit from the Enugu State Housing Development Corporation (ESHDC), renewable annually. This move is intended to ensure professionalism and accountability among real estate agents, a response to widespread complaints about exploitative practices and opaque transactions.
In a bid to curb excessive costs, the bill caps agency and legal fees at 10%, allowing for negotiation of lower rates but prohibiting any charges above this threshold. It also prohibits the traditional practice of demanding caution fees, a common burden on tenants, and stipulates defined notice periods for tenancy agreements to provide clarity and fairness for both landlords and tenants.
Furthermore, the legislation empowers the ESHDC, through its managing director, to establish regulations and guidelines for real estate agents, including application procedures for prospective agents. This aligns with Governor Peter Mbah’s broader vision to transform Enugu into a hub for real estate investment and affordable housing, as evidenced by recent land reform policies and initiatives by the state’s Housing Development Corporation.
The bill has been met with widespread approval with residents and stakeholders praising the move as “long overdue” and “a game-changer” for Enugu’s housing sector. Kelvin Novo, Enugu business man and founder, described the development as “the best news ever,” reflecting the sentiment of many who have struggled with skyrocketing rents and unregulated fees. Others expressed optimism about the potential impact on affordability and tenant rights.
The real estate market in Nigeria is projected to grow significantly, with a market volume expected to reach US$3.41 trillion by 2029, driven by a 6.91% compound annual growth rate from 2025 to 2029. In Enugu, where population growth and urbanization have intensified housing demand, the new bill is seen as a strategic intervention to align with national trends while addressing local challenges.
Commissioner for Lands and Urban Development, Barrister Chimaobi Patrick Okorie, recently emphasized Governor Mbah’s commitment to land reform policies aimed at enhancing investor confidence and optimizing land resources for Enugu’s prosperity. The Landlord and Tenant (Amendment) Bill, 2025, is a critical component of this agenda, reinforcing the state’s efforts to create a seamless and equitable housing market.
While the bill is still in its early stages, having been read for the first time, it has sparked hope among residents and analysts. If passed into law, it could set a precedent for other states in Nigeria grappling with similar housing challenges. The Enugu State House of Assembly is expected to continue deliberations, with stakeholders eagerly awaiting its final passage and implementation.