DM Kaburu Advocates

13/03/2026

Buying Beachfront Property on the Kenyan Coast: Why Legal Due Diligence Matters

The Kenyan coast offers some of the most beautiful beachfront property in Africa. But buying land next to the ocean is not just a real estate decision - it is also a legal, regulatory, and environmental process.

A key legal principle investors often overlook is that under Article 62 of the Constitution of Kenya, the land between the high-water mark and the low-water mark is public land. This means that even where a property appears to extend to the beach, the privately owned parcel must begin landward of that public coastal strip.

Beachfront land must also comply with riparian setback requirements, which often require development to be set back approximately 30 metres from the shoreline. This can significantly affect the actual buildable portion of the property.

In addition, careful due diligence should confirm:

• the root of title and ownership history
• whether the land is still under a mother title awaiting subdivision
• survey boundaries and approved plans
• public access rights to the shoreline
• environmental approvals required for development

These checks determine not only whether a property can be legally owned - but whether it can be developed as intended.

The Kenyan coast remains one of East Africa’s most attractive real estate destinations, but successful investments depend on proper legal review at the outset.

If you are considering acquiring beachfront property along the Kenyan coast, professional legal due diligence is essential to ensure that the investment rests on a secure legal foundation.

08/03/2026

If you are a global brand entering Africa, your biggest risk is rarely the market.

It is choosing the wrong structure - or the wrong local partner.

Many international companies expanding into Africa start with Kenya as their entry point into East Africa. Nairobi hosts regional headquarters for many multinational companies and offers a strong legal and commercial ecosystem for regional operations.

However, one interesting fact is that Kenya does not have a specific franchise law.

Franchise and brand licensing arrangements are instead structured through general commercial laws, particularly the Trade Marks Act and contract law.

Under the Trade Marks Act, a trademark owner can authorize another party to use the brand while retaining ownership of the trademark. This is the legal foundation that allows franchise and licensing systems to operate in Kenya.

In practice, global companies entering the Kenyan market often use structures such as:

• brand licensing agreements
• franchise arrangements
• master franchise structures
• hybrid licensing–franchise models.

But the most important issue is partner governance.

The local partner becomes the face of the brand in the market. If the relationship is poorly structured, the brand risks reputational damage and operational challenges.

A well-structured agreement should address issues such as:

• trademark use
• territorial rights and exclusivity
• operational standards and training
• performance obligations
• reporting and audit rights
• protection of confidential information
• royalty payments and tax considerations
• termination rights.

When structured properly, licensing and franchising provide global companies with a practical pathway to enter the Kenyan market and scale across East Africa.

Successful expansion into Africa ultimately rests on two pillars:

strong intellectual property protection and a well-structured partner governance framework.

If you are considering establishing a business, licensing a brand, or investing in Kenya, professional legal structuring at the outset is critical.

Mwiti Kaburu
Advocate | Business & Real Estate Lawyer
Advising international investors on market entry, business establishment, and brand protection in Kenya.

07/03/2026

“Buying an apartment is basically signing up for permanent rent.”

Someone said this to me recently during a conversation about property investment.

His argument was simple.

“You pay service charges every month.
Stop paying and there are consequences.
So where exactly is the ownership?”

At first, I thought the comment was a bit cynical.

But the more I thought about it, the more I realised it raises a question that many people quietly ask when buying apartments.

If you own the apartment, why must you continue paying service charges?

Here is the reality.

Under Kenya’s Sectional Properties Act, 2020, when you buy an apartment you receive title to your unit.

But you also collectively own the building’s shared areas together with the other owners.

These include things like:

• Corridors and lifts
• Parking areas
• The building structure
• Security systems
• Water systems and generators
• Amenities like gyms, swimming pools, gardens, and children’s play areas

Because everyone uses these facilities, everyone contributes to maintaining them.

That is what service charges pay for.

They cover things like:

• Security guards and CCTV
• Cleaning and garbage collection
• Electricity for common areas
• Lift maintenance
• Repairs and building upkeep
• Property management

In some developments they may also collect property rates or ground rent together with the service charge.

Now here is the part people sometimes miss.

Even if you live in a standalone house, you still pay for security, repairs, maintenance, landscaping and property rates.

The difference is simple:

A standalone homeowner pays those costs alone.
Apartment owners pay them together.

There are also consequences if service charges are not paid.

Arrears can lead to penalties, recovery proceedings, and sometimes restrictions on certain shared services. Banks may also refuse to finance the property and buyers will usually require clearance from the management corporation before purchasing.

From an investor’s perspective, service charges actually serve an important purpose.

Well-maintained apartment developments hold their value and attract tenants more easily.

Buildings where maintenance is neglected often deteriorate quickly and lose both rental demand and resale value.

So the real question is not whether service charges exist.

The real question is how well the development is managed.

Because in modern cities, ownership is no longer just about land.

It is also about how well people manage the infrastructure they share.

Now I’m curious:

Do you think service charges are misunderstood in apartment ownership?
Investments

07/03/2026

Why Wealthy Families Rarely Own Property Personally

Most people think wealth is about what you buy. Sophisticated families understand that it is also about how those assets are held.

In Kenya, personal ownership of property carries strong legal protection. A certificate of title is treated as prima facie evidence of proprietorship, subject only to limited statutory exceptions. This legal strength provides clarity and certainty of ownership. At the same time, however, it can also create direct exposure.

When property is held in an individual’s name, the asset becomes closely tied to personal liabilities, family disputes, and succession processes. In the event of death or incapacity, estate property typically vests in a personal representative only after a grant of representation is issued. That process can take time and, in some cases, generate disputes that delay decisions relating to the asset.

For this reason, many high-net-worth families structure ownership through legal entities. Common approaches include holding property through a company, a trust, or a hybrid arrangement where a trust governs the family’s long-term objectives while a company holds title to the asset for operational clarity and financing purposes.

This approach is not about secrecy. Modern regulatory systems increasingly require transparency in relation to beneficial ownership. In Kenya, companies and limited liability partnerships are required to file beneficial ownership information identifying the natural persons who ultimately own or control the entity. Financial institutions must also identify the individuals behind corporate and trust structures as part of anti-money-laundering compliance.

Proposed reforms in the trust sector follow the same direction. The Trust Administration Bill, 2025 introduces similar disclosure requirements for trusts, reinforcing the principle that competent authorities and regulated institutions should be able to identify the individuals behind legal arrangements.

The real value of structured ownership therefore lies not in concealment but in governance. Proper structures can improve continuity if a founder dies or becomes incapacitated, ring-fence risk so that a single dispute does not threaten an entire family portfolio, clarify decision-making authority in relation to sales or financing, and reduce family conflict through defined rules and oversight mechanisms.

The phrase “rich families never own property personally” is, of course, an overstatement. Many individuals still hold assets in their own names. Nevertheless, it reflects a broader principle in wealth governance: high-value or multi-generational assets are often better held through well-designed legal structures rather than through individuals.

For families that own rental property, development land, or assets intended to pass across generations, the most important question is not simply what was acquired. The more important question is how those assets are held, governed, and ultimately transferred without disruption.
Mwiti Kaburu

Lawyer | Investment & Real Estate | Estate Planning | Business Setup in Kenya
🌐 www.dmklaw.co.ke⁠�
Advising Local & International Investors

Reliable law firm in Kilimani Nairobi near me. Providing trusted counsel and top legal solutions in Kilimani Nairobi. Fast response guaranteed. Chat Us Now.

03/03/2026

Family Trusts: Protecting What You’ve Built!

You have worked hard to build wealth. The important question is how to protect it and pass it on without conflict, delay, or loss.

A Family Trust is one of the most effective legal tools for structured succession planning.

Through a properly drafted Trust Deed, assets such as land, shares, cash, or business interests are placed under trustees who manage them in accordance with clearly defined instructions. The structure can operate during your lifetime and continue seamlessly thereafter.

Why many families are choosing Family Trusts:
✔️ Succession without disruption
✔️ Protection of family assets
✔️ Structured control over distributions
✔️ Privacy in family affairs

Family Trusts are not only for the ultra-wealthy. Professionals, entrepreneurs, and business owners are increasingly using them to create order, certainty, and long-term stability.
With proper legal structuring and periodic review, a Family Trust becomes more than a document — it becomes a legacy plan.

If you would like guidance on structuring a Family Trust tailored to your family circumstances, feel free to reach out.

DM Kaburu & Company Advocates
Trusts | Succession | Asset Protection

02/03/2026

Most people believe that once you have a title deed, you are safe.

The Supreme Court has now made it clear — that is not enough.

In Dina Management Limited v County Government of Mombasa & 5 others (2023) eKLR, the Supreme Court held that a title deed is not conclusive proof of ownership where the root of that title is illegal.

If the original allocation of land was unlawful, then no valid title capable of transfer ever arose.
It does not matter how many times the property changed hands.

It does not matter whether you were involved in the illegality.

If the foundation is defective, the title falls.
This decision clarified Section 26 of the Land Registration Act and settled earlier conflicting Court of Appeal decisions such as Arthi Highway Developers v West End Butchery and Tarabana Company Limited v Sehmi.

What does this mean for buyers?
A land search is not enough.
Serious due diligence must investigate:
• Was there a valid Part Development Plan (PDP)?
• Was the letter of allotment lawful?
• Was public land irregularly converted?
• Does the historical chain of ownership withstand scrutiny?
Property law is no longer about blind reliance on the register.
It is about legitimacy of acquisition.

If you are buying property- especially high-value land or beachfront property - ensure the root of title is examined.

Structure before excitement.
Clarity is capital.

DM Kaburu Advocates
Nairobi |Real Estate & Investment Law

25/02/2026

Foreigners Registering a Company in Kenya — Read This First
Many foreign investors are told they must appoint a local Kenyan director to register a company in Kenya.
That is not the only option.
Under Kenyan law, there are two compliant options:
Option 1: Appoint a Local Kenyan Director
This involves appointing a Kenyan resident as a director of the company, with director-level authority and responsibilities. This is suitable only where there is a trusted local partner.
Option 2: Appoint a Certified Public Secretary (CPS)
A CPS is an alternative to a local director and is commonly used by foreign investors.
A CPS:
• Does not own shares
• Does not manage or control the business
• Acts strictly on directors’ instructions
• Handles statutory filings and compliance
Key takeaway:
Foreign investors do not need to give up control of their company to meet Kenyan registration requirements. Proper structuring at incorporation protects both compliance and ownership.
DM Kaburu & Company Advocates
Corporate & Commercial Legal Advisory

23/02/2026

Buying an apartment in Kenya? 🏢
Before you pay a deposit, make sure your advocate requests these key documents from the seller:
✅ Copy of the Mother Title
✅ Sectional Title for the unit
✅ Official Search
✅ Seller’s ID/Passport & KRA PIN
✅ Developer’s Certificate of Incorporation & KRA PIN
✅ Approved Building Plans & Sectional Plans
✅ NEMA & NCA Approvals
✅ County Approvals & Certificate of Occupation
✅ Architect’s Certificate of Practical Completion
✅ Rates & Rent Clearance Certificates
✅ Management Agreement & By-Laws
Why? Because price and location mean nothing without clean title and proper approvals.
Before you sign. Before you transfer funds. Before you commit.
Engage an advocate early.

20/02/2026

Buying Property in Kenya as a Foreigner: Should You Use a Company or Your Personal Name?

This is one of the most common questions we receive from non-resident and diaspora investors.

The answer depends on your tax position, long-term goals, and estate planning strategy.

Here are the key considerations:

• Stamp Duty
Stamp duty is 4% for urban property — including apartments and leasehold titles.
The rate is the same whether you purchase in your personal name or through a company.

• Capital Gains Tax
15% on net gain at the point of sale — same for both structures.

• Rental Income Tax
Non-resident individuals: 30% on gross rent.
Resident Kenyan companies (residential rentals): 7.5% on gross rent (final tax).

This difference can significantly affect your net returns.

• Succession Planning
If you own property personally and pass away, a foreign grant of probate generally needs to be resealed in Kenya before the property can be transferred or sold.
If owned through a company, only the shares transfer — which can simplify cross-border estate handling.

• Liability & Exit Flexibility
A company provides limited liability protection and allows exit through either a property sale or share sale.
Personal ownership follows the standard conveyancing process and may require spousal consent where applicable.

So which structure is right?

For a single investment, personal ownership may be simpler.
For investors planning to scale, retain profits, or structure succession properly, a company can be more strategic.

Before you buy, structure it correctly.

DMK Kaburu & Company Advocates advises diaspora and international investors on compliant and tax-efficient property acquisition in Kenya.

12/02/2026

Kenya Apartments in Nairobi are attracting serious international investors here’s why. 🇰🇪

If you’re a foreign or diaspora buyer exploring property opportunities in East Africa, Nairobi offers structured off-plan investments with strong rental demand and long-term growth potential.
Here’s what you need to know:
✔️ Foreigners can legally purchase apartments (leasehold titles).
✔️ You can buy in your personal name or through a registered company.
✔️ Proper legal due diligence is essential- title verification, developer checks, approvals & contract review.
✔️ Flexible construction payment plans are available.
✔️ High-demand areas include Kilimani, Kileleshwa, Westlands & Diani.
We guide international clients step-by-step- from initial advice and due diligence to tranfer and handover.
📩 Request the Foreign Buyer Checklist
📞 Book a consultation call
🌍 Assisting investors across Europe, UAE & North America

06/02/2026

Foreign Buyer’s Guide: Off-Plan Apartments in Nairobi
If you’re a foreigner or diaspora investor looking to buy off-plan apartments in Nairobi, here’s what you need to know:
• Ownership: Foreigners may legally own apartments on long-term leasehold titles
• Land & developer checks: Confirm land ownership, approvals, and the developer’s track record
• Off-plan contracts: Timelines, payment milestones, penalties for delays, and exit clauses must be clearly defined
• Payment protection: Buyer funds should be structured to minimise construction risk
• Title registration: Understand when and how your individual title or lease is issued after completion
• Taxes & compliance: Plan for stamp duty, rental income tax, and capital gains tax on exit
At DMK Law, we provide independent legal guidance to foreign buyers — from due diligence to contract review and completion.
📍 Nairobi-based | 🌍 Trusted by foreign & diaspora investors
📩 Request our Foreign Buyer’s Guide (PDF) or a legal review before you invest.