Every day, landlords across Abuja, Lagos, and Nigeria’s major cities sign tenancy agreements that leave them dangerously exposed. Whether you own a single flat in Maitama or a portfolio of commercial properties in Wuse II, a poorly drafted tenancy agreement can cost you months of unpaid rent, expensive litigation, and properties returned in states of disrepair.
The problem is rarely a missing signature. It is missing clauses.
Here are five critical provisions that Nigerian tenancy agreements routinely omit and why each one matters.
1. A Clear Repair and Dilapidations Clause
Many tenancy agreements in Nigeria simply state that the tenant must “keep the property in good condition.” This is legally vague and almost impossible to enforce.
A well-drafted Repair clause should specify who is responsible for routine maintenance versus structural repairs, require the tenant to return the property in its original condition (supported by a schedule of condition at the start of the tenancy), and entitle the landlord to deduct repair costs from the security deposit if obligations are breached.
Without this, landlords routinely absorb thousands of naira in repair costs when tenants vacate with no legal recourse.
2. A Subletting and Assignment Restriction
Under Nigerian property law and the provisions of the Land Use Act, a tenant who sublets without permission creates complex legal entanglements for the property owner. Yet most standard tenancy agreements in Abuja and Lagos contain no explicit prohibition on subletting or assignment.
Your agreement should expressly state that the tenant may not sublet, assign, or part with possession of the property in whole or in part without the landlord’s prior written consent. Breach of this clause should be listed as a ground for forfeiture.
3. A Forfeiture and Re-Entry Clause
This is perhaps the most overlooked clause in Nigerian tenancy agreements. A forfeiture clause gives the landlord the legal right to re-enter and repossess the property if the tenant breaches specific terms such as non-payment of rent, illegal use of the premises, or unauthorized subletting.
Without a valid forfeiture clause, a landlord’s only remedy is a full recovery of premises action in court a process that, under the Recovery of Premises Act (Cap R4, LFN 2004) and the FCT Tenancy Law 2011, can take several months. A properly drafted forfeiture clause strengthens the landlord’s position and accelerates resolution.
4. A Service Charge and Utility Responsibility Clause
In Abuja’s high-density estates and commercial developments, service charges covering estate security, generators, water supply, and common area maintenance are a routine part of property occupation. Yet many tenancy agreements fail to specify who pays what, and when.
Your agreement should clearly itemize all service charges payable by the tenant, set out the payment schedule, and state what happens if those charges fall into arrears. Treating service charge arrears, the same as rent arrears with the same enforcement rights is a provision that sophisticated landlords and their lawyers insist on.
5. A Dispute Resolution Clause
Nigerian courts are capable of delivering justice, but litigation over tenancy disputes can be slow and costly. A dispute resolution clause that provides for structured negotiation, then mediation, before either party proceeds to court can save landlords and tenants significant time and legal fees.
This clause should nominate a recognized arbitration or mediation body, set out timelines for each stage, and confirm that the courts retain jurisdiction as a last resort. For high-value commercial tenancies, arbitration under the Arbitration and Mediation Act 2023 may be the preferred option.
Protect Your Property. Protect Your Investment.
A tenancy agreement is not a formality, it is your first and most important line of legal protection as a landlord. Whether you are letting residential property in Abuja’s Garki or Asokoro districts, or leasing commercial premises anywhere in Nigeria, the quality of your agreement determines the quality of your protection.
At Olamide Oyetayo & Co, our Real Estate Practice team drafts tenancy agreements that are legally robust, tailored to Nigerian law, and structured to protect your interests at every stage of the landlord-tenant relationship.
Contact us for a consultation.