Off-Plan Property in Kenya: FAQ

At a glance

Frequently asked questions

What does buying off-plan actually mean?

You commit to buy a unit — typically an apartment — before or during construction, paying a deposit and then instalments linked to building milestones. You take possession and title only once the project is complete and the relevant titles are issued.

What are the main risks?

Delay in completion; abandonment or non-completion; changes to the size, finishes or layout you were promised; the developer’s financial failure; and title not issuing because the developer’s own title or approvals were defective. Off-plan concentrates risk in the developer’s performance, which is why the diligence matters far more than the brochure or the show unit.

Is off-plan regulated by a specific law in Kenya?

There is no dedicated off-plan statute or specialist regulator. The transaction is governed by general contract law, the land statutes, the Sectional Properties Act 2020 for titling of units, and consumer-protection principles. That absence of a bespoke regime is precisely why the contract has to do the heavy lifting on buyer protection.

What due diligence should I do on the developer and the land?

Confirm the developer holds good title to the land through an official search; check that the development has the required county planning and building approvals and NEMA environmental approval, and that the contractor is registered with the National Construction Authority; review the developer’s track record on previous projects and whether they were delivered on time; and, where the land is charged to a financier, understand exactly how and when your unit will be released from that charge.

How is my payment protected?

Through the structure of the sale agreement. Tie instalments to verified construction milestones rather than calendar dates; negotiate refund or exit rights if milestones slip badly; and, where possible, arrange for payments to be held or staged so they are not simply at the developer’s free disposal. A project-account or escrow-type arrangement, where available, is far safer than paying directly into the developer’s operating account.

How will I get title to an apartment?

For multi-unit developments, individual ownership is typically granted as a sectional title under the Sectional Properties Act 2020 and the Sectional Properties Regulations 2021, which allow each unit to hold its own title with shared ownership of the common areas managed through a corporation. Older developments may still use long-term subleases pending conversion. The agreement should commit the developer to procure and deliver your sectional title.

What should the sale agreement contain?

At minimum: the price and a payment schedule tied to milestones; the unit’s specification and floor area; the completion date and clear remedies for delay; confirmation of the developer’s title and approvals; the mechanism and timeline for issuing your title; refund and termination rights if the project fails; provisions on snagging and defects; and a dispute-resolution clause.

Can I get my money back if the project stalls?

Only to the extent your agreement provides for it. Recovering money from a stalled or insolvent developer without clear contractual refund and termination rights is difficult and slow, which is exactly why those clauses must be negotiated before signing rather than assumed.

What happens if the finished unit differs from what I was promised?

Your remedy depends on the contract. A well-drafted agreement fixes the specification and floor area and gives you rights — price adjustment, rectification or exit — if the developer delivers something materially different. Without those terms, a buyer’s position is weak, so the specification should be pinned down in writing, not left to the brochure.

Is off-plan cheaper than buying a completed unit?

The headline price is often lower and payment is spread over construction, but the discount is compensation for taking construction and completion risk. It should be weighed against that risk, not treated as free value.

Should I involve a lawyer before paying a deposit?

Yes — the deposit stage is when your protections are set or lost. An advocate verifies the developer’s title and approvals, confirms how your title will issue, and negotiates the agreement so your money and your unit are protected before you commit a shilling.

Disclaimer: This article has been prepared for informational purposes only and is not legal advice. This information is not intended to create, and receipt of it does not constitute a lawyer-client relationship. Nothing in this article is intended to guarantee, warranty, or predict the outcome of a particular case and should not be construed as such a guarantee, warranty, or prediction. The authors are not responsible for any actions (or lack thereof) taken as a result of relying on or in any way using information contained in this article and in no event shall be liable for any damages resulting from reliance on or use of this information. Readers should take specific advice from a qualified professional when dealing with specific situations.