In Kenya’s evolving property market, sectional property titles Kenya are reshaping how modern urban housing is owned and managed. Unlike outdated sub‑lease systems, the new law grants individual legal ownership of units within developments—boosting security, ease of transfer, and access to financing.
What Are Sectional Property Titles?
Under the Sectional Properties Act, 2020, property developers can subdivide buildings into units (e.g. apartments, townhouses) each with its own title deed or lease certificate, plus a proportional share in common areas such as corridors and parking lots.
Why Kenya Adopted Sectional Property Titles
Historically, Kenyan projects used 99‑year sub‑leases plus a management company framework, which caused significant issues such as control disputes, developer dependency, and transfer limitations.
The SPA 2020 helps address these by:
- Reducing minimum qualifying leasehold term from 45 to 21 years, expanding eligibility.
- Requiring geo‑referenced sectional plans prepared by certified surveyors.
- Creating a Sectional Properties Corporation to manage common areas and resolve homeowner disputes.
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Table: Benefits of Sectional Property Titles Kenya vs. Old Sub‑Lease System
| Feature | Sectional Titles (Post‑2020 SPA) | Sub‑Lease / Management Company Model |
|---|---|---|
| Title Independence | Certificate issued individually | Dependent on “mother title” |
| Banking and Financing | Easily mortgageable per unit | Harder due to shared dependency |
| Registration & Transfer | Straightforward; treated like land | Complex, requires developer consent |
| Cost Efficiency | Lower: no share certificates or extra fees | Higher legal & administrative costs |
| Governance & Dispute Resolution | Handled by Corporation | Often developer‑driven, opaque |
How to Obtain Sectional Title in Kenya
Kenyan regulations require a clear legal process for sectional property titles Kenya:
- Identify qualifying property – freehold or leasehold ≥ 21 years.
- Prepare geo‑referenced sectional plan by surveyor.
- Obtain County and survey approvals, plus building plans.
- Submit to Land Registrar, surrender mother title, and register individual certificates.
- Automatic formation of Sectional Properties Corporation, complete with by-laws and internal dispute mechanisms.
Failing to convert within two years may result in fines up to KES 250,000 per board member.
FAQ – Sectional Property Titles Kenya
Q: Is conversion mandatory?
Yes. Long‑term sub‑leases intended for unit ownership had to be converted by end of 2022 to comply.
Q: Who can initiate conversion?
Developers, management companies, unit owners, or chargees can begin the process.
Q: Can foreign buyers hold sectional titles?
Yes, foreign nationals may hold leasehold sectional titles up to 99 years. Kenyans can hold leasehold or freehold with no duration cap.
Q: Are these titles accepted by banks?
Absolutely. Banks now favour sectional titles for mortgage financing as they provide clear collateral.
Why Sectional Titles Matter for Kenyan Home Buyers
- Legal security: You own your unit independently—no longer tethered to developer control.
- Easier resale & financing: Individual deeds make selling or mortgaging straightforward.
- Governance structure: The Corporation votes on maintenance, fees, and dispute resolution.
- Lower risks: Eliminates developer manipulation in management.
Sectional Property Titles Kenya Are the New Standard
Kenya’s introduction of sectional property titles Kenya marks a transformative milestone in property rights. It offers modern urban home buyers real ownership, regulatory clarity, and better financing options. Whether you’re purchasing a Nairobi flat or a Mombasa townhouse, ensuring your unit is registered under the SPA 2020 gives you security, transferability, and peace of mind.
By embracing this system, Kenyan property buyers now enjoy legal certainty, simplified transactions, and enhanced asset value. The era of sub‑leases is fading—sectional property titles Kenya represent the future of secure, transparent urban ownership.
