Taj Mall accused by partner of breaching property agreement
Taj Mall Ltd, a residential and commercial development firm, has been accused by its partner of breaching an agreement.
Taj Millennium Management Ltd claims Taj Mall has gone against the lease agreement entered in 2001 on how property will be managed.
Taj Mall develops and manages exclusive apartments in prime areas like Westlands, Kileleshwa and Riverside. The developed properties are then sold to the public and estate management.
In 2001, Taj Mall developed properties which included apartments, a swimming pool, a health club, parking space and gardens.
In September the same year, it entered into a lease agreement with Taj Millennium with a number of terms to guide their partnership.
Among the agreements was that upon payment of full membership fees of Sh50,000 by each of the apartment owners, Taj Mall would transfer the reversionary interest to Taj Millennium which was managing the estate.
According to Taj Millennium director Michael Achola, a dispute arose when the managing director Taj Mall Rameshchandra Govind Gorasia decided to convert the health club into apartments despite them having disapproved such a move.
“Our Board of Directors met and unanimously voted against Mr Gorasia’s request,” said Mr Achola.
However, it was claimed that on February 2, 2014 Taj Mall Ltd sent workers to the disputed apartments and started demolishing the gymnasium.
Mr Gorasia(left), however, said Taj Mall had been the registered proprietor of the property in question and that Taj Millennium was only incorporated to acquire the revisionary interest in the property and to undertake direct management.
He said by virtue of several leases made between Taj Mall, Taj Millennium and the buyers, his firm sold and transferred to various buyers 30 of the 32 apartments on the property.
“We retained two of the apartments which were then converted into a gymnasium and health club,” he said.