Effect of Sectional Properties Act 2020 on long-term leases – By a Notice dated 7th May 2021, the Ministry of Lands and Physical Planning notified the public that it will no longer register long-term leases supported by architectural drawings for units in buildings with effect from 10th May, 2021. This is in accordance with the Sectional Properties Act 2020 (“the Act”) which requires that all properties contained in long-term leases be properly georeferenced and approved by Survey of Kenya.

In compliance with the Act, the Ministry has issued draft regulations which, once enacted, will guide the process of converting long-term leases registered on the basis of architectural drawings to conform to the Act and the Land Registration Act, 2012.

The Ministry has also assured the public that unit owners of the affected long-term leases will not incur additional stamp duty upon conversion provided that the requisite stamp duty was paid as part of the registration formalities of the long-term leases.

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