Owner of Demolished Ukay Mall in Nairobi Demands Sh2.3 Billion Compensation from Gov’t in Court Suit

Kental Enterprises, the company that owned Ukay Mall which was demolished last year has sued the government.

In a case filed in court, the company wants the government to pay it Sh2.3 billion in damages for demolishing the mall that was located in Nairobi’s Westlands area.

Kental says that the then Nairobi City Council approved its building plans in 1994 and the demolition of the shopping complex amounts to the compulsory acquisition of their parcel of land by the government, which necessitates compensation.

In court documents, the developer is demanding compensation for the mall that stood on three parcels of land valued at Sh2.3 billion.

The company says the first parcel is worth around Sh1.85 billion while the second and third plots have a combined value of Sh460 million. The computation also includes disturbance allowance.

Kental names the Attorney-General, the Nairobi City County, National Environment and Management Authority (Nema), the Water Resources Management Authority (Warma) and the National Youth Service that carried out the demolition exercise as respondents in the case.

The company says the demolition is unlawful and goes against the constitutional provision on ownership and acquisition of property.

The government descended on the 25-year-old shopping mall in August 2018 on account that it was built on riparian land.