Current issues in real estate law in Kenya are no longer slow moving. In the last twelve months, the way land is registered, taxed, approved and enforced has changed more than in several years before it. Property owners who last looked at the rules when they bought their land may find that the ground has shifted beneath them.
This guide to current issues in real estate law sets out six changes that Kenyan property owners, landlords, developers and investors should understand and act on in 2026. Each is grounded in a law, a regulation or an official announcement, and each has practical consequences for how you hold, sell, build on or rent out property.
Why current issues in real estate law matter to ordinary owners
It is easy to assume that legal change affects only developers and large investors. In practice, the changes below reach anyone who sells a plot, subdivides family land, lets out a flat, owns an apartment in a shared block or lives near a river. Knowing the current issues in real estate law means you can plan instead of reacting when a buyer, a bank or a county officer raises them first.
6 current issues in real estate law Kenyan owners should act on
1. Land transactions are now fully digital
From 16 February 2026, the State Department for Lands and Physical Planning rolled out the National Stamp Duty Module on Ardhisasa across the country. Physical stamp duty submissions at land registries ended, and valuation, assessment and payment moved online. The Ministry has said that titles issued outside the approved online process will be treated as null and void.
What to do: This is one of the current issues in real estate law that touches every transaction. If you plan to sell, buy or charge property, make sure your advocate is fully onboarded on Ardhisasa and that your own account details and identity documents are in order. Be wary of anyone offering to process a transfer outside the platform.
2. Subdivisions now carry a public land dimension
The Land (Amendment) Act, 2025 came into force on 4 November 2025. Among other changes, land set aside for public purposes during development approvals, such as subdivision or amalgamation, is to be registered as public land, typically in the name of the county government or the relevant public body, with registration published in the Kenya Gazette.
What to do: If you are subdividing family land or planning a gated community, factor the surrender of land for roads and public use into your layout, your pricing and your agreements with buyers. Read the Land (Amendment) Act, 2025 or ask your advocate how it applies to your scheme.
3. Landlords face closer tax scrutiny
The Finance Act 2026, which took effect on 1 July 2026, introduced a final rental income tax for non resident landlords earning rent from property in Kenya, with registration, monthly returns and payment by the 20th day of the following month. Separately, the Kenya Revenue Authority published draft Income Tax (Residential Rental Income Tax) Regulations in 2026 proposing that landlords register on an electronic rental income tax system.
What to do: Diaspora owners who rent out property in Kenya should confirm their registration and filing position now. Resident landlords should keep proper records of rent received and watch for the final form of the regulations.
4. REITs have become a more attractive exit
The Finance Act 2026 exempted capital gains on property transferred into a registered REIT and restored a stamp duty exemption for qualifying REIT transfers. Kenya’s REIT market has also grown, with a US dollar REIT listing on the Nairobi Securities Exchange in March 2026.
What to do: Owners of income producing commercial or residential portfolios, and developers who build to hold, should consider whether a REIT structure offers a better exit or financing route than a direct sale. This needs careful tax and regulatory advice before any transfer.
5. Riparian and environmental enforcement is tighter
After the 2024 floods, structures along Nairobi’s rivers were demolished, and in March 2025 the county gazetted the Nairobi River corridor as a Special Planning Area with a 60 metre buffer, as reported by The Standard. The county has said the designation does not cancel valid titles, but it signals closer control of development near watercourses.
What to do: If your land is near a river, wetland or drainage line, check its position against the reserve and the planning area before you build, sell or borrow against it. Confirm that any building on it holds the approvals and environmental licences it needs from the National Environment Management Authority where required.
6. The professions around property are being reorganised
The Architectural and Quantity Surveying Practitioners Bill, 2026 was published in July 2026 and is before the National Assembly. If enacted, it would replace the existing law governing architects and quantity surveyors and bring other built environment professionals, such as landscape architects, interior designers and construction project managers, into regulation.
What to do: Developers and owners commissioning projects should follow the Bill’s progress, because it may change who can sign off designs and manage construction, and therefore what approvals and lenders will require.
Ongoing issues that still trip owners up
Alongside these changes, some long running current issues in real estate law in Kenya remain. Apartment owners should understand their rights and obligations under the Sectional Properties Act, 2020, including the role of management corporations, which we explain in our guide to the Sectional Properties Act. Buyers continue to lose money to fraud and incomplete due diligence, which is why we recommend the full set of property searches before any payment. And landowners entering development deals should take advice on joint ventures before signing.
Frequently asked questions
Do I need to do anything about my existing title?
Not automatically, because most current issues in real estate law affect transactions rather than existing titles. But if you plan to sell, charge or subdivide, ask your advocate to run a current search on Ardhisasa and confirm that your records are in order before you start.
How do I keep track of current issues in real estate law?
Follow official sources such as the Ministry of Lands, the Kenya Revenue Authority and Kenya Law, and read our TLA News and Insights for practical analysis of new laws as they are published.
Are these changes final?
Some are in force, such as the Finance Act 2026 and the Land (Amendment) Act, 2025. Others, such as the draft rental tax regulations and the Architectural and Quantity Surveying Practitioners Bill, 2026, may still change before they take effect.
Get advice on the changes that affect you
Thomas Louis Advocates advises property owners, landlords, developers, lenders and investors on current issues in real estate law in Kenya and how they apply to specific properties and projects. Learn more about our Real Estate and Infrastructure practice and read our guide to real estate law in Kenya in 2026.
To discuss how these changes affect your property, you can contact our team, email [email protected] or call +254 115 702 315.
This article is for general information only and does not constitute legal advice. Laws and regulations change, so please seek advice on your specific circumstances.
