Property Investors Push Kenya to Reinstate REIT Stamp Duty Relief
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Kenya’s property investors are demanding tax relief to revive interest in REITs. They argue that stamp duty is raising transaction costs and slowing growth in the listed real estate sector.
Property investors in Kenya are calling on the government to reinstate stamp duty exemptions for Real Estate Investment Trusts (REITs), arguing that current taxes are reducing investment activity in the sector. The proposal was highlighted during a REIT industry conference in Naivasha, where market participants said transaction costs remain a key barrier to growth.
Stakeholders say stamp duty, charged at up to 4% in urban property transfers, makes it expensive to move assets into REIT structures, discouraging participation from both developers and institutional investors. They are pushing for reforms that would improve liquidity and make REITs more accessible to retail investors.
The appeal comes as Kenya’s REIT market continues to expand, with rising capitalisation and new listings such as the TRIFIC dollar-denominated green REIT pointing to growing investor interest despite tax concerns.
If adopted, the proposed relief could significantly lower entry barriers and reshape how real estate is financed in Kenya, especially as regulators debate broader tax reforms affecting property transactions.
Read the full story at Business Daily Africa