fInancial vanguard october 1st edition

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Vanguard, MONDAY, OCTOBER 1, 2012 — 37

Homes & Housing Finance

Makoko: Slum dwellers need a new life – Lagos lawmaker By EBUN SESSOU GAINST the backdrop of the recent demolition of Makoko, a coastal community in Lagos, by the state government, a lawmaker in the Lagos State House of Assembly has called on government to design programmes that will ensure that people living in slums are given a new life. Mr. Mr. Lanre Ogunyemi, representing Ojo II constituency in the state legislature, in an exclusive interview with Vanguard, said that ongoing discussions in the aftermath of the demolition must accommodate the views of the Makoko evictees and other people living in slums across the state. Ogunyemi, who is also Chairman, House Committee on Energy, Mineral Resources and Waterfront Infrastructure, called on the residents of Makoko to take advantage of the on-going discussions as directed by the Governor, Babatunde Fashola and come up with a solution that would be in their best interest and that would also move Lagos forward. “Lagos is virtually a megacity and because of the present situation, there is always plan to resettle certain settlement that we think are not in conformity with the expectation of the State. But, there must be better resettlement if people must move. I believe, government will not throw thousands of its people into a daylight penury and poverty without making alternative arrangement for them. “All over the world, there is provision for the poor and that is what we call evolution or involvement of new towns. Lagos has what is called new towns development authority and by the United Nations charter, there are bound to be emergence of new towns. With the way Makoko is, there is no development that can take place there. What government is doing there is not total demolition of Makoko. The only contentious issue revolves around those who built their houses under power-line. And therefore, there is need to create a safe way to safeguard the lives and properties of the people living in Makoko. “We must not give chance for any disaster before taking necessary measures. Secondly, the whole of

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Makoko is choked and therefore there is need to create avenue for some of the facilities to be in place. What has happened in Maroko might not be the same in Makoko and that is why people should not be quick to rush to judgement.

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hat we want there is the beautification of the waterways which is currently our topmost priority. And the point is that an aesthetic look of Makoko must improve in the interest of the image of Lagos as a megacity. We have Ajegunle slum where government is putting efforts to ensure a better atmosphere.

This is not a government that empowers the rich at the detriment of the poor,” he explained. On the allegation that government wants to give the place out to developers, he noted that the government has not made that declaration to the best of his knowledge. “Makoko has been there for so many years and I don’t want to believe that government would be insensitive to the community there. Prior to now, I am told that government has been having series of roundtable talks with the leaders of the community to give a new look to Makoko. But I am of the

opinion that concession must be made on both sides so that Lagos can be what we all want it to be. There is no indication that portends that government wanti to collect from the poor and give to the rich. “If the Lagos State government did not give out any master-plan on Makoko, I think, there is no point talking about it. Usually, when government comes up with a master-plan for the real development of an area, certain considerations are given to the original occupants. But there could also be the resettlement option,” he concluded.

BRIEFS Cross River approves N216m for land compensation ROSS River State government has approved N216.4m as compensation to owners of land acquired for various projects in the state. Commissioner for Lands and Housing, Mr. Raphael Uche, said in Calabar that the compensation would be borne by the government apart from the land acquired by the Cross River State Water Board Limited for waterworks at Ikom and Ogoja. He gave a breakdown of the compensation as: N30.7 million for acquired land at Anyanganse; N19 million for Bebi Airstrip; N52 million for Calabar Riviera Club; N83.1 million for UNICEM evacuation road; and N38.7 million for Theme Park. “The compensation for the right of way to the International Convention Centre has been paid. In respect of the International Airport Road bypass, enumeration for payment of compensation to the expropriated land owners is ongoing. For the Ogoja and Ikom stadia, the acquisitions are still very fresh and the revocation notices have been published,” he said.

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US mortgage rate hits record low VERAGE US rates on fixed mortgages have fallen to new record lows, suggesting the Federal Reserve’s stimulus efforts may be having an impact on mortgage rates. Mortgage giants Freddie Mac last week said that the rate on the 30-year loan dropped to 3.40 percent, down from 3.49 percent in the previous week, which was the lowest since long-term mortgages began in the 1950s. The average on the 15-year fixed mortgage, a popular refinancing option, fell to 2.73 percent, down from the record low of 2.77 percent in the previous week. The Fed is spending $40 billion a month to buy mortgage-backed securities. The goal is to lower mortgage rates and help the housing recovery. Fed Chairman Ben Bernanke says the program will continue until there is substantial improvement in the job market. “Fixed mortgage rates continued to decline this week, largely due to the Federal Reserve’s purchases of mortgage securities, and should support an already improving housing market,” said Frank Nothaft, vice president and chief economist, Freddie Mac.

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Lagos targets N12bn from Land Use Charge By YINKA KOLAWOLE AGOS State government has unveiled plans aimed at achieving its targeted revenue of N12 billion to be generated from property levies under the State’s Land Use Charge law. The law was established by the State to harmonise existing land charges such as tenement rate, development charges, ground rates and neighbourhood improvement charges. Managing Director, Lagos State Office of Land Use Charge, Mr. Dele Ibrahim, during a recent awareness and sensitisation roadshow, said that the agency has embarked on the campaign to create awareness of the benefits derivable from complying with the law. He noted that a marked improvement in compliance

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with the law has been recorded of recent, while still charging officials to do more to further boost the compliance level. He further noted complaints of the challenges of inadequate access in some banks due to poor network. “We have a huge mandate to achieve the N12 billion target but I still believe this market can generate over N25 billion. The compliance level is presently at 27 per cent and is rising. We have to work harder to improve on the revenue collected so as to support infrastructure growth,” he asserted. Ibrahim said the law made provision for the consolidation of all property and land based rates and charges payable under the land rates law, the neigbourhood improvement charge law and tenement

rates law in Lagos into a new land based charge called property land use charge. He said it also includes the assessment of chargeable properties and identification to ascertain those that qualify for exemption or tax. According to him, charges for Owner-Occupied residential property is 0.0394 per cent per annum of the assessed property value; industrial premises of manufacturing concerns, 0.132 per cent; residential property/commercial, 0.394 per cent; while commercial property used by occupier for business purposes attracts 0.394 per cent. Ibrahim charged officers of the agency to maintain the core values of the agency, which according to him, are integrity, efficiency, professionalism and discipline.

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