A dispute has arisen between Tatu City and the Kiambu County Government over a Sh4.3 billion land issue. Tatu City, an international real estate developer, alleges that the county has demanded the surrender of 40 acres of land valued at Sh4.3 billion as a condition for approving its master plan.
In a press briefing on Wednesday, Tatu City Chief Operating Officer and Kenya Country Head at Rendeavour, Preston Mendenhall, stated that Governor Kimani Wamatangi’s administration has withheld approval of the City’s new Master Plan for over a year and a half, resulting in the company losing over Sh16 billion in potential investments.
The investor further alleged that Wamatangi and the County Executive Member in charge of Lands, Housing, Physical Planning, Municipal Administration, and Urban Development, Salome Wainaina, intend to allocate two acres of the land for an official governor’s residence and ten acres for a health facility.
Attempted extortion
“It’s time to blow the whistle on Governor Wamatangi’s attempted extortion of Tatu City. Governor Wamatangi, in a series of meetings with Tatu City and its representatives, has illegally demanded free land in return for approving Tatu City’s new Master Plan. We condemn the Governor for harming Kenya’s investment climate and destroying job creation,” Mendenhall said during a media briefing.
Tatu City COO Preston Mendenhall also claimed that the county chief had missed three scheduled meetings intended to resolve the differences over the allocation of public land. However, Governor Wamatangi dismissed these claims as an attempt to tarnish his and the county officials’ reputations, accusing them of extortion. He demanded a public apology from the Tatu CEO, threatening court action if not received.
Addressing a press conference at the Kiambu County headquarters, Wamatangi maintained that the law requires developers to cede land for public schools, health facilities, and other utilities. The governor also asserted that the company was supposed to surrender 500 acres, which is 10 per cent of its 5,000 acres, for public use as per the law.
“What the County Government of Kiambu has requested from Tatu City, as a condition for the review and approval of the Master Plan, is the reservation and utilisation of public amenities not for private use,”
“The requested public amenities include 10 acres for social housing to cater to the low-cadre workers operating within the industrial park and residential areas, such as those working in the industries, housekeepers, cleaners, security personnel and their families,” stated Wamatangi.
Maintaining that he would not relent in pursuing what is legally mandated, Governor Wamatangi stated that among the requested public amenities land are 44 acres for the construction of a stadium, 7.2 acres for a community centre, 5.3 acres for a social hall, 4.8 acres for a hospital, and 2 acres for administration offices.
Additionally, 2 acres are requested for the construction of the Governor’s Official Residence, which Wamatangi emphasized is a legal requirement according to the Salaries and Remuneration Commission regulations, not for private use.
However, Tatu City insists that the county must purchase the land in question, arguing that the law does not mandate them to surrender land free of charge. Wamatangi countered claims by Mendenhall that his administration was deterring investments, expressing readiness to work with all developers, including Tatu City.
Mendenhall had claimed that the delay in approving the City’s new master plan had cost the county and country over Sh16 billion in additional investment value and 4,500 new jobs for young Kenyans.
Mendenhall also noted that several investors in affordable housing, office spaces, retail, and other industries have put their investments in Tatu City on hold, awaiting the resolution of the impasse. He asserted that according to Kenyan law, there is no legal basis or procedure for Tatu City to surrender land to Kiambu County without compensation.
He added that while adhering to Kenyan and international best practices in urban planning, the Tatu City Master Plan has 103 acres set aside for “public purpose” use, which is available for amenities such as hospitals, schools, and police and fire stations.
Compulsory acquisition
“The Land Act of Kenya provides that, if the government requires land for a public purpose, then a compulsory acquisition process must follow, meaning that the land must first be acquired through a process of just and equitable compensation to the landowner,” stated Mendenhall. He said that they have undergone an arduous approval process for its new Master Plan. It submitted its amended Master Plan to the Ministry of Lands and Physical Planning for initial review.
The new city is home to more than 2,000 affordable and mid-income apartments, public and private schools with 6,000 students and 82 businesses, among them leading Kenyan and international companies
