KCCA closes buildings over ground rent arrears
What you need to know:
- Mr Stephen Illungole, the Umeme Communications Manager, said they had spoken to the landlord who reportedly said KCCA had never served him with any demand notice nor ever notified him on how much money he owed them.
Kampala Capital City Authority (KCCA) says it has started closing all commercial buildings whose landlords have defaulted payment of ground rent.
Mr Theobald Cliff Edyegu, the director revenue collection, told this publication that they are closing all buildings in the city whose owners are reluctant to provide the payment plan for ground rent arrears.
"We started the exercise this month but we had stopped because of the Uganda Martyrs’ Day and the Heroes Day public holidays. However, we have now resumed," he said.
He explained that in the past, they would not close the premises but they were instead engaging landlords to provide their payment plans. He says they have tried doing similar engagements but some landlords have failed to show up forcing them to take action.
Asked how much they are demanding from landlords, he said in Nakawa Division alone, they are seeking to recover Shs5.6 billion from 300 properties.
His comments followed the closure of offices of power distributor Umeme and National Water and Sewerage Corporation in Kitintale, a city suburb over a Shs10.3 million arrears which, according to him has accrued since 2019.
But by last evening, Mr Edyegu says they had resolved the matter with the landlord and agreed on payment plan.
Asked how the closure had affected their operations, Samuel Apedel the NWSC public relations manager referred this publication to KCCA for answers saying as tenants they are not responsible for payment of ground rent.
Mr Stephen Illungole, the Umeme Communications Manager, said they had spoken to the landlord who reportedly said KCCA had never served him with any demand notice nor ever notified him on how much money he owed them.