Yes, a foreigner can buy land in Kenya, but only within limits. A non-citizen cannot hold freehold, and cannot in practice buy agricultural land, but can hold a leasehold of up to 99 years. This guide explains what a foreigner can and cannot own, how the buying process works, and the traps to avoid.
This guide is for non-citizens buying property in Kenya: individuals in the diaspora, foreign investors, and expatriates settling in Nairobi, Mombasa or at the coast. It is also for foreign companies eyeing Kenyan real estate, and for advisers guiding them. If you are a Kenyan citizen buying at home, the 99-year cap will not bind you, but the buying process still applies. To hold property through a Kenyan entity, read our guide to foreign company and branch registration in Kenya.
Kenya recognises a few main types of land holding. First, freehold is the fullest form, held indefinitely. By contrast, leasehold is a right to use the land for a fixed term, granted by the Government or by a freehold owner. In addition, there is public and community land, which is not open to private purchase in the ordinary way.
For a foreign buyer, the key line runs between freehold and leasehold. A citizen can hold either. However, a non-citizen cannot hold freehold at all. So a foreigner’s route into Kenyan property is the leasehold, and the law caps how long that lease can run.
The governing rule sits in Article 65 of the Constitution. Article 65(1) says a person who is not a citizen may hold land on leasehold tenure only, and that no such lease may exceed 99 years. That cap applies however the lease is granted, so it cannot be dodged by drafting.
Article 65(2) backs the rule up. If any document tries to give a non-citizen a greater interest, such as freehold or a 150-year lease, the law reads it down and treats it as a 99-year lease. In our view a foreign buyer should therefore check the lease term early, because you may be paying a freehold price for what the law will only recognise as a lease.
Two further limits catch foreign buyers. First, agricultural land. A sale of agricultural land in a land control area needs the consent of the Land Control Board, and the Board must refuse consent where the buyer is a non-citizen or a company that is not wholly citizen-owned. A sale made without consent is void. In practice this closes farmland to foreigners.
Second, companies. Article 65(3) treats a body corporate as a citizen for land only if it is wholly owned by Kenyan citizens. A company with any foreign shareholder is treated as a non-citizen, so it is capped at a 99-year lease and cannot acquire agricultural land. Using a Kenyan-registered company does not escape the rule if a foreign shareholder is behind it.
| Land or asset type | Can a non-citizen hold it? | Governing rule |
|---|---|---|
| Freehold land | No, it converts to a 99-year lease | Constitution, Article 65(1) and (2) |
| Leasehold up to 99 years (non-agricultural) | Yes | Constitution, Article 65(1) |
| Leasehold longer than 99 years | No, read down to 99 years | Constitution, Article 65(2) |
| Agricultural land in a land control area | Effectively no, the Board must refuse consent | Land Control Act |
| Apartment or unit on a long lease | Yes, through the leasehold | Sectional Properties Act, 2020; Article 65 |
| Land through a company | Only if citizens wholly own the company | Constitution, Article 65(3) |
The mechanics look much like a citizen’s purchase, with a few extra checks. Start with due diligence: order an official search on the title to confirm the owner and any charges or cautions. Then agree terms and sign a sale agreement, usually with a ten per cent deposit. Before completion, the seller should clear land rates with the county and land rent where the land is leasehold, and a valuation is taken so stamp duty can be assessed.
The buyer then pays stamp duty, at four per cent of the value in a city or municipality and two per cent elsewhere, obtains the necessary clearances, and lodges the transfer for registration under the Land Registration Act, 2012. A foreign buyer also needs a KRA PIN to transact and register. In addition, documents signed abroad must be properly executed and legalised before they are used here. We set out the full process in our guide to conveyancing in Kenya.
Can a foreigner own land in Kenya outright? Not on freehold. A non-citizen may hold land only on a leasehold of up to 99 years.
Can a foreigner buy agricultural land? In practice, no. The Land Control Board must refuse consent to a sale to a non-citizen, and a sale without consent is void.
Can a foreign-owned company buy land? Only within the same limits. A company is a citizen for land only if Kenyan citizens wholly own it.
Can I buy an apartment in Nairobi as a foreigner? Yes. You take a long lease of the unit within the 99-year cap, a common route for diaspora and expatriate buyers.
Do I need to be in Kenya to buy? No. You can act through an advocate and a power of attorney, but documents signed abroad must be legalised, and you will need a KRA PIN.
The recurring mistakes are common but avoidable. For example, some buyers pay a freehold price for land the law will only recognise as a 99-year lease. Others buy agricultural land without appreciating that consent will be refused, which leaves the deal void. Similarly, some assume a Kenyan-registered company escapes the cap when a foreign shareholder means it does not. In addition, buyers skip the official search and rely on the seller’s copy of the title. Finally, signing documents abroad without legalising them stalls registration.
Our real estate and property team acts for foreign individuals, diaspora buyers and international investors purchasing property in Kenya. We run title due diligence, structure the holding within the Article 65 limits, and manage the sale, consents and registration from start to finish. To discuss a specific property, contact John Maina, Partner, at OLM Law Advocates LLP.
This article is a general guide only and is not legal advice. Please seek advice on your specific circumstances.
OLM Law Advocates LLP advises landlords, tenants, buyers, developers and investors on Kenyan property, from conveyancing and leases to titles and disputes.
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