Nigeria

Dealing with Construction Permits in

Nigeria

Listed below is detailed summary of the procedures, time and costs to build a warehouse —including obtaining necessary licenses and permits, completing required notifications and inspections and obtaining utility connections. 

The information appearing on this page was collected as part of the Doing Business project, which measures and compares regulations relevant to the life cycle of a small- to medium-sized domestic business in 183 economies. The most recent round of data collection for the project was completed in June 2011.

  • Building a warehouse

  • Estimated Warehouse Value: NGN 58,365,602
  • City: Lagos

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No. Procedure Time to Complete Associated Costs
1 Obtain Environmental Impact Assessment Report

It usually takes 4 days for the Town Planner to issue the Environmental Impact Assessment Report. The fee varies between NGN 20,000 and NGN 50,000.

Agency: Town Planner
7 days NGN 35,000
2 Obtain Development Permit from the Building Control Agency

The Development Permit authorizes construction and is valid for 2 years. To obtain this permit a Building Development Plan portraying the intended uses and the proposed development on the site and the effect on adjacent developments and neighborhood must be prepared by a professional.

Legally, a pre-approval inspection is required. Other inspections include one by the Environmental Protection Agency, and another structural inspection carried out by the Local Planning Authority during construction. In practice however, none of these inspections usually takes place.

For construction involving a structure of more than two (2) floors the developer or owner, shall at the time of submitting his application to commence building works to the Building Control Agency submit a general contractors all risk insurance policy certificate.

Agency: Lagos State Building Control Agency
42 days NGN 494,216
3 Pay Development Levy to the Lagos State Physical Planning Authority

The Lagos State Physical Planning Authority charges a contribution levy (10% of the building permit cost) for the preparation and production of development plans, such as local, district, subject, and action plans; development guides; office maintenance; procurement and maintenance of vehicles; office equipment; and similar issues.

Agency: Lagos State Physical Planning Authority
1 day NGN 49,422
4 Pay Spatial Enhancement Contribution to the Lagos State Urban & Regional Planning Board in bank draft



Agency: Lagos State Urban and Regional Planning Board
1 day NGN 95,000
5 Obtain Certificate of Structural Stability of foundation from an accredited construction testing company



Agency: Accredited Construction Testing Company
2 days NGN 5,000
6 Obtain Certificate of Structural Stability (first pouring of concrete)



Agency: Accredited Construction Testing Company
2 days NGN 5,000
7 Obtain Certificate of Structural Stability (second pouring of concrete)



Agency: Accredited Construction Testing Company
2 days NGN 5,000
8 Obtain Certificate of Structural Stability (third pouring of concrete)



Agency: Accredited Construction Testing Company
2 days NGN 5,000
9 Receive inspection during construction from State Government Task Force reporting to the Commissioners for Land and Urban Development



Agency: State Government Task Force
1 day no charge
10 Receive inspections during construction for material evaluation and testing, fire and public health control from the Building Control Agency

The Lagos State Urban and Regional Planning and Development Law from July 2010, gives the Building Control Agency the power to carry out inspection(s) of building construction, when necessary.

Agency: Lagos State Building Control Agency
1 day no charge
11 Receive inspection during construction from Zonal Monitoring Team



Agency: Zonal Monitoring Team
1 day no charge
12 Request and receive inspection by Fire Department

This certificate is to be obtained at the local planning authority before the building can be used. It is within the discretion of the authority to conduct an on-site inspection before issuing the certificate. However, such an inspection, normally about 45 minutes, is very rarely performed.

Agency: Fire Department
1 day no charge
13 Obtain Certificate of Completion and Fitness for Habitation



Agency: Lagos State Building Control Agency
14 days no charge
* 14 Obtain fixed phone line

The estimated completion time is 21 days and the cost is NGN 15,750.

Agency: Local Planning Authority
21 days NGN 15,750
* 15 Dig borehole to obtain water

The cost breakdown to dig the bore hole is the following: Equipment Rental: NGN 15,000; steel casing: NGN 20,000; transportation: NGN 10,000; riser pipe: NGN 5,000; safety sipe: NGN 3,000; renting pumping machine: NGN 7,000 (NGN 1,000 per day); chemicals: NGN 3,000; labor: NGN 60,000; geophysics test: NGN 15,000. The total is NGN 138,000.
7 days NGN 138,000
* Takes place simultaneously with another procedure.