Nairobi Governor Johnson Sakaja on Wednesday, March 6, directed Nairobi apartment owners to collect sectional title deeds as the county implements the collection of land rates for apartments.
Speaking during an interview with Capital FM, Sakaja emphasised that landlords will now only pay for their property with the title deed. These title deeds can be for apartments, flats, office units, and maisonettes.
"We are getting into sectional properties. If you own an apartment you need to get your sectional title and start paying your portion of rates," he stated.
Notably, the title deed introduced by the Sectional Properties Act allows the owner to register, sell and get long-term leases for sectional properties.
They are being levied depending on the size of the unit and its location. Those who fail to pay the rates by March 31 every year, shall be liable to interest on arrears at the rate of 3 per cent per month until the arrears are cleared.
Sakaja argued that it was unfair for owners with different apartment dimensions to pay equal land rates when one requires more water and other necessities.
"If you do not do sectional title deeds, when the lease is up the reversionary interest will go back to the original owner," the governor remarked.
The county boss reiterated that it only cost 0.115 per cent of the property's assessed value. This is outlined in the Nairobi City County Government Finance Act 2022.
Additionally, he revealed that in liaison with the national government, his government was working to start a campaign to encourage more Kenyans to title their apartments.
Meanwhile, the governor noted if all landlords take the titles, the county shall be able to raise more revenue through land rates. The new proposal for land rates began in January 2024.
On revenue matters, Sakaja emphasised that he was working to collect the highest compared to previous years. He assured the residents of Nairobi that their money would be put to good use.
By the first two months of financial year 2023/2024 City Hall had raised Ksh1.07 billion, which was Ksh823.1 million more than the previous financial year.
Additionally, data from the National Treasury revealed that in the previous financial year, Nairobi raised Ksh8.16 billion which was more than 30 counties combined.
