Land Laws Shake-Up: New Bill Proposes Annual Levy for Homeowners Near Cities
Owners of freehold property next to urban areas will now be required to pay an annual land levy, same as residents of towns or cities if a new bill proposed is passed into law.
Freehold property is owned for an indefinite period with no annual charges or fees. Most ancestral lands in the country are freehold.
This means that home and land owners in Syokimau, Kiambu, Thika, Mlolongo, and other areas neighboring Nairobi will have to pay an annual land levy equivalent to the rate charged to city residents.
The Land Laws (Amendment) Bill 2023, sponsored by National Assembly Majority Leader Kimani Ichung’wah, seeks to amend the Land Act 2012 relating to grants, dispositions, and compulsory land acquisition.
If the bill is approved into law, owners of property near urban centers and cities will be required to pay an annual levy, placing an additional burden on Kenyans who are already facing a tough economic environment.
The bill proposes to amend Section 54 of the Land Act, 2012, by inserting Section 54A which states that owners of freehold property situated within the boundaries of any urban area or city shall pay an amount equivalent to the land rent charged in the urban area.
“The owner of any freehold land or property situated within the boundaries of any urban area or city shall pay an annual land levy equivalent to land rent charged on a comparable leasehold land or property of the same size in the same zone,” read part of the bill.
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The original clause of Section 54 of the Land Act 2012 touched on the requirements for Kenyans seeking to become entitled to a piece of land.
“If a person has become entitled to any land, lease or charge under any law or by any order or certificate of sale made or issued under any law, the Registrar, on the application of any interested person supported by such evidence as the person may require, shall register the person entitled, as the proprietor,” read part of the Act.
The bill further seeks to hand the Lands Cabinet Secretary powers to sanction land acquisition for state projects, a role that was initially reserved for the National Lands Commission (NLC).
If approved, the Lands CS can either reject or approve an acquiring public body from undertaking acquisition based on whether it meets the requirements.
If it meets the criteria, the land will be mapped out and valued and the CS will then publish a gazette notice of the changes and deliver a copy to the Registrar for land and all affected persons.
Land Laws Shake-Up: New Bill Proposes Annual Levy for Homeowners Near Cities
