HON ALLAN CHESANG PROPOSES BILL TO REGULATE THE SECTOR.
The Kenyan economy is the largest economy in East Africa with a real estate market turnover of more than sh100 billion annually. In a fresh push launched to regulate the multibillion-shilling real estate sector, it aims at streamlining operations within the industry. An industry that has in the past witnessed several cases of fraud. This development will see tough penalties, including imprisonment for up to three years and, fines imposed on rogue developers, real estate agents and brokers.
Trans-Nzoia Senator, Allan Chesang, is sponsoring this bill whose proposals is contained in the Real Estate Regulation and Development Bill 2023. This Bill seeks to put in place mechanisms for the registration of real estate agents, brokers and developers. It is at a time when the sector has witnessed a lot of fraud in the recent past with the current regulatory regime faulted for being ineffective.
Hon. Chesang has said the Bill is meant to facilitate the growth of an efficient and competitive real estate sector by protecting the interest of allotters, developers, agents and brokers. The senator has explained that it will create a single window system for ensuring time-bound project approvals and clearances for timely completion of projects.
In a statement made by Trans-Nzoia Senator and I quote, “The Bill outlines the obligations of county governments , issuance of approvals for projects and regulation of the real estate sector.” This Bill has been committed to the Senate Lands and Environment committee which is chaired by Nyandarua Senator John Methu for consideration.
It provides for mandatory registration of all real estate projects, agents and brokers with the Real Estate Board that is set to be established under the bill. This includes timelines for registration and sanctions for failure to register. The Board will also be charged with publishing and maintaining a public database of all real estate agents and brokers who have applied for registration, those eventually registered and those whose registrations have been rejected or revoked.
In order to protect the industry from rogue developers, the Board will be expected to maintain a public database with names and photographs of developers who have defaulted on various projects, including information on the defaulted projects. Speaking on the challenges they are facing, Martin Kariuki who is the managing director of Miliki Properties, a real estate firm, has said the major challenges they are facing in the industry is regulatory deficiency.
“We are ready to work with the government and stakeholders to ensure that proper supervision policy frame work is put in place,” said Mr. Kariuki.
The Board will appoint a registrar who will be its Chief Executive Officer should the Bill become a Law. The registrar will be charged with keeping a listing of all registered real estate agents, developers and brokers as well as that of consulting firms registered by the Institution of Surveyors of Kenya and approved by the Board.
This Bill is finally some hope of sanity in the Real Estate sector.
“As your Senator, I believe that leadership is about more than just making decisions and setting policies. It’s about bringing people together, listening to their needs and concerns, and working towards a common goal. It’s about being a servant leader, putting the needs of others before your own, and building a brighter future for all.”
– Hon. Allan Chesang
Copyright © 2023 | HON. ALLAN CHESANG – SENATOR TRANS-NZOIA COUNTY