Reported by: Ijeoma G | Edited by: Oravbiere Osayomore Promise.
The Lagos State Government has announced the recovery of more than ₦270 million from fraudulent estate agents and property developers on behalf of residents who fell victim to real estate fraud across the state. The recovery, amounting to ₦270,020,500, was disclosed on Tuesday, May 26, 2026, by the Commissioner for Housing, Moruf Akinderu-Fatai, during the 2026 Ministerial Press Briefing held at the Bagauda Kaltho Press Centre in Alausa, Ikeja. The briefing marked the third year of Governor Babajide Sanwo-Olu’s second term in office. According to the commissioner, the funds were recovered by the Lagos State Real Estate Regulatory Authority (LASRERA) from fraudulent practitioners between 2025 and 2026, underscoring the government’s commitment to protecting residents from exploitation, fraudulent transactions, and unethical practices in the property market.
LASRERA, the state’s real estate regulatory agency, received 505 petitions from members of the public concerning disputes arising from real estate transactions during the same period. Of these, the agency successfully resolved 39 cases and recovered three properties for affected residents. Akinderu-Fatai stated that the recovery reflected ongoing efforts to sanitise the real estate sector, restore confidence in the property market, and ensure that housing investment remains safe for low- and middle-income tenants, who are often the most exposed to predatory rental schemes. The agency has continued to strengthen regulatory oversight through aggressive stakeholder engagement, public sensitisation campaigns, and targeted enforcement operations. These efforts include educational forums held across the state’s 57 Local Government Areas and Local Council Development Areas, aimed at discouraging illegal practices and addressing complaints surrounding arbitrary charges and unprofessional conduct by some operators.
As part of its enforcement drive, LASRERA, in collaboration with the Lagos State Task Force, sealed the office of an unregistered operator, Demeny Ventures, in the Owutu area of Ikorodu on March 18, 2026. The operator was accused of posing as a registered LASRERA agent and conducting real estate business without obtaining the required operational permits. The agency has also installed billboards at strategic locations across the state, including Surulere, Ikorodu, Epe, Badagry, Marina, and Alausa, to sensitise residents on the need to transact only with registered practitioners. LASRERA maintains a comprehensive database of accredited estate agents and developers, enabling residents to verify practitioners before engaging in property transactions. To improve accessibility and service delivery, a new satellite office has been established in Surulere, bringing the total number of such offices to four, alongside existing offices in Ikorodu, Agege, and Ojodu.
The real estate and construction sector is a major driver of the Lagos State economy, contributing significantly to the sub-national gross domestic product and attracting substantial private capital. However, the prevalence of housing scams, double-allocation fraud, and unregulated agents has introduced severe friction into the property market, threatening overall macroeconomic confidence. Persistent fraud and a lack of transparency have historically forced financial institutions to price property loans at a high premium, worsening the country’s housing deficit. By aggressively clawing back stolen funds, LASRERA is helping to mitigate these systemic risks, stabilising the local housing investment market and creating a predictable environment where commercial banks can comfortably extend credit facilities to developers and off-takers. The housing ministry has reaffirmed its long-term commitment to protecting property buyers, tenants, and institutional investors through continuous surveillance and strict adherence to statutory standards. Akinderu-Fatai urged residents to remain vigilant, verify practitioners through official LASRERA channels, and promptly report any suspicious real estate activities to the authority.
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