FAAN Gives Concessionaires 6-month Deadline To Develop Airport Lands

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The Federal Government has set a deadline of six months for concessionaires to develop lands leased to them for development at airports across the country.

Failure to develop the lands within this period may result in the concessionaire losing the property to the government.

Managing Director of the Federal Airports Authority of Nigeria, FAAN, Mr. George Uriesi, who disclosed this at dinner to round off the Aviation Investment Forum Stakeholders Opportunity Buy-in of Aviation Master Plan in Lagos, weekend, said the new template was necessitated by recent controversies between his agency and ACI Limited.

ACI was leased land at the Murtala Muhammed Airport, Lagos, to build a hotel but failed to do so decades after, which prompted FAAN to terminate the concession and take over the land.

This, however, resulted in a legal battle between both parties still pending in court.

To avert a recurrence of this, Uriesi said aside from having six months to start development of leased lands, concessionaires must also be able to complete project in not more than two years.

This, according to him, was also to ensure airport environment across the country was not littered with abandoned projects.

“From now on, land concession at airport will not be more than six months for development which must be completed in not more than two years.

“The era of not developing lands leased to concessionaires years after they were leased out are over. This is in line with the transformation agenda of the present government,” he said.

Uriesi added that concessionaires must also show financial capacity to develop land before any deal would be signed. [Vanguard]

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