We take this opportunity to thank you once again for investing with us. At Optiven, we endeavor to not only settle you in your Property, but to also make ownership of your properties clear and simple. In this Communication, we seek to demystify the different types of titles issued in Kenya and the nature of these titles at the point of transfer.
The Land Registration Act No.3 of 2012 recognizes a title as conclusive evidence of ownership of land in Kenya. A land title is a document that proves ownership and legal rights over a piece of land. It is the most fundamental document during a land transaction. The details are usually changed from the Vendor to the Purchaser after a land transaction signifying change of ownership.
Titles
Prior to the year 2012, there existed different legislations that regulated land and property ownership in Kenya and which have now been repealed by the Land Act and Land Registration Act both of 2012. Before the enactment of the Land Act No. 6 of 2012 and Land Registration Act No. 3 of 2012, below were the common types of titles:
- Absolute Title Deed – these were titles issued under the Registered Lands Act Cap 300 (repealed) for freehold lands. When transfer is done on these Properties, a new Title Deed is printed at the State Department of Lands Registry and issued to the new owner. This has been applied to all our Freehold Projects.
- Certificate of Lease Title – these were titles issued under the Registered Lands Act Cap 300 (repealed) for leasehold land. When transfer is effected on these Properties, a new Title Deed is printed at the State Department of Lands Registry and issued to the new owner.
- Certificate of Title – This is a title deed issued under Registration of Titles Act Cap 281 (repealed). When a transfer or any form of transaction is effected on the land, the same title is used to record the new owner and handed to the new owner of the property as opposed to preparation of new titles. These titles are issued for projects like Success Gardens Phase I, Amani Ridge Gardens and Wema Gardens.
- Indenture – This is a title deed created under the Government Lands Act Cap 280 (repealed)for leases. Transfers are registered and held as titles for the Property.
- Grant – A Government grant under Registration of Titles Act Cap 281 (repealed) and a county council grant under Trust Land Act Cap 288.
Titles Post 2012
- Post 2012, new land legislations that is the Land Act, the Land Registration Act and the Sectional Properties Act were enacted. The Land Registration Act, 2012 consolidates the various titles under the repealed Acts into either a “Certificate of Title” or “Certificate of lease.” A Certificate of title is issued for freehold land while a Certificate of the lease is for leasehold land.
- Additionally, the Sectional Properties Act, 2020 brought with it “The Sectional titles” which are title deeds for units within a building such as a flat or an apartment and they can either be in form of Certificate of tile for freehold property or Certificate of lease for leasehold property. For these new titles, whenever there is a transfer, a new title is issued to the new owner of the Property.
IR and CR Numbers
- Under the Government Land Act chapter 280 (now repealed), leasehold grants bearing CR numbers were issued. Under the Registration of Titles Act chapter 281 & the Land and Titles Act chapter 282 (now repealed, freehold certificate of titles bearing CR numbers were issued.
- Under the Registration of Titles Act chapter 281 (now repealed), long term leasehold titles bearing I.R numbers were issued. Currently, only Land Reference numbers (L.R) are issued depending on the registration unit, registration section, block number, cadastral plan and parcel number as determined and serialized by the Registrar.
Conclusion
We appreciate the essence of having title deeds for all our Clients and actively seeks for the expedition of the processing of titles across various State Department of Lands Registries across the Country. To ensure that you get a good title to your Property.
For Clients who have not collected their title deeds or have not finalized on the processes needed for this, we implore on you to regularize the same to ensure that your ownership is perfected as prescribed by law. It is important to note that even though Certificates of lease and Certificates of Title are issued under the Land Registration Act, all other forms of titles continue to be legally issued by the State Department of Lands due to the various stages of implementation of the changes in the Country.
We value you.
Authored by Dr. George Wachiuri, CEO, Optiven Limited
In case of further questions on this topic or any other matter relating to the legal ownership of your Property with Optiven, please reach out to us on 0790300300 or email us at legal@optiven.co.ke .
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