Rent to go up by 20pc after rise in land rates
Big rent rises loom as landlords are faced with land rates doubling.
Rents could go up by 20 per cent following a 100 per cent increase in land rates from next month.
City landlords have vowed to pass on the rises to their tenants, in spite of attempts by the county government to declare any such rises illegal
The new Finance Act that comes into operation next month raised land rates from 17 per cent to 34 per cent, meaning property owners will pay double the rates they paid last year.
The chairman of the newly formed Nairobi House Owners Association Peter Kinyanjui said: “We shall pass the new cost to tenants. Most of us could start in April when the deadline for payment of rates elapses on March 31.”
His vice chairman, Maryanne Mutheu added: “The new rates will reduce our profits. With other costs of services already up, the rents cannot remain stagnant.”
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