Lagos State Government has doused the tension over the new rate of Land Use Charge. The State Commissioner for Information and Strategy, Kehinde Bamigbetan spoke at a news conference on Wednesday.
According to the government,
- If you are a landlord and you are the only one living in your house with your family (No tenant). Your annual fee is rated as “Value of the house × 0.076. E.g. if your house is valued at N20m. Your fee is 0.076% of N20m =N15,200 per annum.
- If you rented out the house to tenants only and you don’t live there and the house is worth N20m. You will pay 0.76% of N20m = N152, 000.
- If you are a landlord living with your tenant in the same building of the above value. You will pay 0.256% of N20m = N51, 200. Etc.
*All fees has a 40% discount. That is
N15,200 …….. …… N9,120
N152, 000. ………. N91,200
N51, 200 …………..N30, 720
** The value of a property is determined by the current price of land in the area the property is located plus the cost of the structure built on it.
According to him, rates in VGC Ajah V/I axis differs from Ikorodu and other areas of such. And it goes on like that. He also said they are only charging out of 60% of the property rather the whole 100%.
However, owner occupied the property with partial commercial activity will attract rate different from full commercial property. The rate also will be determined by the value of the property and where it is located in the state.