When purchasing an apartment in Kenya, you may come across the term “sectional properties”. In essence, apartments or similar units are now classified under the Sectional Properties Act 2020, which streamlines the process of property ownership and management. This legal framework allows for the division of buildings into individually owned units (like apartments) while also managing common areas shared by all unit owners. The introduction of this Act has transformed how apartment transactions are conducted, benefiting both developers and purchasers. If you’re looking to buy or develop an apartment, our team is here to ensure the process is seamless. Our legal expertise covers all aspects of the Sectional Properties Act—from guiding buyers through the registration of sectional titles to assisting developers with compliance and documentation.

Purpose of the Sectional Properties Act

The Sectional Properties Act, 2020 allows for buildings to be subdivided into units that are owned individually, while the common areas are collectively owned by all unit holders. For apartment buyers, this means that you can legally own an individual unit (such as an apartment) with a clear title deed or certificate of lease, depending on the tenure of the land on which the building stands. Developers benefit from being able to create and sell multiple units within a single development with greater clarity and transparency.

Our law firm assists developers with preparing the necessary sectional plans, obtaining approvals, and complying with the relevant regulations under the Act. For purchasers, we ensure that the legal process of transferring ownership is hassle-free and that you understand the rights associated with your unit, including the use of shared spaces like parking, recreational areas, and corridors.

Benefits of Sectional Ownership in Kenya

Owning a sectional unit under this Act comes with numerous benefits.

For purchasers, the Sectional Properties Act offers several key benefits that enhance the apartment-buying experience. One of the most significant advantages is the simplified transfer process. Buyers receive either a certificate of title for freehold land or a certificate of lease for leasehold land, making the acquisition of an apartment straightforward. The clear sectional title also facilitates enhanced access to financing; unit owners can easily secure loans from lenders using their apartments as collateral. Finally, the Act ensures greater protection for buyers, requiring full disclosure of any existing encumbrances on the property, thereby safeguarding investments from unforeseen liabilities.

For developers, the Act provides a framework that significantly improves the efficiency of selling individual units within a building. The legislation encourages optimized land use by promoting vertical development, allowing developers to construct multi-unit buildings in high-demand areas. This not only enhances the experience for developers but also contributes to the growth of the sectional property market in Kenya.

Managing Common Areas and Shared Responsibilities

Under the Sectional Properties Act, common areas such as hallways, gardens, and parking spaces are owned collectively by all unit owners as tenants in common. Each unit owner’s interest in these areas is proportionate to their unit size and is clearly reflected in their sectional title or lease.

The management corporation is responsible for maintaining these common areas on behalf of the unit owners. If you are a developer or unit owner, F.M. Muteti & Co. Advocates will help you understand how the management corporation works and ensure that its responsibilities and rights are well-documented to avoid future disputes.

Legal Support for Purchasers and Developers

We provide comprehensive legal services to both purchasers and developers of sectional units. Whether you are looking to buy an apartment or develop a residential complex, our real estate lawyers in Kenya will ensure that all legal requirements are met—from geo-referencing the land to registering sectional plans and setting up management corporations.

We also prioritize the protection of your rights as purchasers, ensuring an efficient transfer process. Our team guides you through essential documents, including the sale agreement, sectional title or lease document, by-laws, management agreements, and details regarding common areas and property encumbrances. For developers, we provide expert assistance in registering sectional plans, incorporating management corporations, and ensuring compliance with the Sectional Properties Act. We also oversee conveyance of the units to the respective buyers.

Whether you are purchasing an apartment or developing a multi-unit building, the Sectional Properties Act is designed to protect your investment and simplify property ownership. At F.M. Muteti & Co. Advocates, we have the expertise to guide you through every step of the process.

Disclaimer: The information provided in this article is for general informational purposes only and does not constitute legal advice. For specific legal guidance tailored to your situation, please consult a qualified legal professional. F.M. Muteti & Company Advocates is here to assist you with your legal needs.