285,000 city landowners risk losing property for defaulting on land rates – Kerich

The county recently listed all property owners who have defaulted on land rates in Nairobi.

In Summary
  • The Finance CEC said that they are engaging the ministry to have the over 100,000 properties not captured in county records incorporated.
  • Kerich said while most administrations have always gone for increased rates to cover the deficits, what they are doing is widening the base to collect more revenue from land rates.
CEC Finance and Economic Planning Charles Kerich
CEC Finance and Economic Planning Charles Kerich
Image: FILE

Nairobi county Finance executive Charles Kerich now says that over 285,000 property and land owners risk losing them for defaulting on land rates.

Speaking on Monday, Kerich said while the number they have at the county records is 177,000 properties, records at the Lands Ministry place the same at over 285,000 properties.

The Finance CEC said that they are engaging the ministry to have the over 100,000 properties not captured in county records incorporated.

Kerich said while most administrations have always gone for an increase in the rates to cover the deficits, what they are doing is widening the base to collect more revenue from land rates.

"Meaning that they have another 100,000 properties that we do not have and therefore we have begun a conversation with the Ministry of Lands for integration," he said.

"So that if there is any subdivision going on, as soon as it's done at the ministry we get the information real-time. The whole idea is to bring this other 100,000 into the roll and start charging them rates so that you meet your target without burdening whoever is already compliant." 

His remarks come a few days after the county listed all property owners who have defaulted on land rates.

The county government said should the owners fail to make the required payments, their properties will be auctioned.

"The owners of the following listed properties are advised to ensure that they pay outstanding land rates arrears owed to Nairobi City County Government otherwise the properties shall be subject to penalties, interest and enforcement actions including auction by the Nairobi City County Government," the notice reads.

Land rates are the top own-source revenue earner for Nairobi county and it accounts for about 25 per cent of revenue collected by the county government.

Kerich also admitted that some people are on the defaulters list because they sold their properties a long time ago, and failed to transfer ownership to the new owners.

He said the default notice is a reminder to the owners to fix such issues in case there is a change in ownership but has not been updated.

"Go through it, find your property, if it's something you had sold deal with the person you had sold it to and then we can have a conversation after that because for sure the enforcement will come," he said.

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