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Land selling companies set up new mechanism to tackle fraud

Rogue companies have been accused of exacerbating corruption while defrauding Kenyans millions of shillings

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by ALFRED ONYANGO

Business10 April 2023 - 18:00
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In Summary


  • The platform has been backed to deliberate on ethical ways of doing business in the country.
  • Further plans to develop a code of conduct and setting up disciplinary committee are also into considerations.
Newly formed Association of Real Estate Stakeholders chairman, Kinyua Wairatu

Real estate and land selling companies have formed an association that will seek to vet companies and weed out the rogue ones in the sector.

For many years, such companies have been accused of exacerbating corruption while defrauding Kenyans millions of shillings  in non-existent land buying deals or double allocations.

Dubbed, 'Association of Real Estate Stakeholders', the platform has also been backed to deliberate on ethical ways of doing business.

This in the backdrop of recent incidents where Kenyans, both in the country and abroad have lost millions of shillings in buying either non-existent land or falling prey to double allocations where one parcel of land is sold to multiple people.

According to George Wachiuri, one of the initiative's patron who owns property investment firm Optiven Limited, the move seeks to bring back order in  the real estate.

"Set for a formal launch on April 18th, we are also looking up at self regulation within our memberships and punish bad elements within, so that they can streamline their businesses in line with the ethical way of doing business," Wachiuri said.

Further plans to develop a code of conduct and setting up disciplinary committee are also into considerations.

"We also want to engage parliamentarians for some regulations  both at National and county governments so that we can participate on anything policy related touching on land,’’ he added.

About 200 realtors have so far signed up  to the association with further plans to push up the numbers up to 500 by end of this month.

The association's chairman, Kinyua Wairatu notes that, if the  perception in the real estate and land selling business  in the country is not addressed , the industry is staring at losing its credibility after being invaded by few rogue elements.

"These elements have made genuine realtors  and land sellers  face massive cancellations since the latest outcry on how people are getting conned," Wairatu said.

"The current  situation from some quarters in the industry is worrying and as an association, we will keep vetting companies  before they join us to ensure that they meet the necessary requirements  and adhere  to ethical business practices."

He added that this will help build a network of reputable real estate companies that the public can trust and rely on.

Land selling business in Kenya is a multi-billion lucrative venture  as Kenyans scramble for any affordable land for housing.

The chairman thus warns of fraudsters who are doing what it takes to sabotage the sector, and calls on joint efforts, like one such formation of vetting associations, in tackling the vice.


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