Can You Convert Leasehold to Freehold in Kenya? Complete Guide 2025
Your Path to Permanent Land Ownership
Many Kenyan property buyers wonder: "Can I convert my leasehold land to freehold ownership?" The answer is YES – and it's easier than you think. This guide explains everything you need to know about securing permanent land ownership in Kenya.
What Is Leasehold vs Freehold Land?
Leasehold means you own the land for a specific period (usually 99 years) and pay annual ground rent. When the lease expires, ownership theoretically returns to the original landlord.
Freehold means you own the land permanently. No time limits, no ground rent, and you can pass it to your children and grandchildren forever.
Can Kenyan Citizens Convert Leasehold to Freehold?
Yes! The Kenyan Constitution and Land Act give citizens the right to convert eligible leasehold land to freehold ownership. This process is handled by:
National Land Commission (NLC) - for government leasehold land
County Governments - for urban areas like Nairobi, Mombasa, Kisumu
Private landlords - if leased from private entities (requires their consent)
Which Land Can Be Converted?
✅ Usually Eligible for Conversion:
Most Nairobi and urban leasehold properties
Government land originally allocated to citizens
Land that was freehold but converted due to foreign ownership
Properties with clear title history and no disputes
❌ Difficult or Impossible to Convert:
Land with ongoing legal disputes
Properties in special development zones
Land leased from private entities (without owner consent)
Properties with outstanding debts or unpaid rates
New Opportunities in 2025: Industry Insights
The government's recent directive requiring foreigners to surrender freehold titles has created excellent opportunities. At AMCCO Properties, we've observed increased interest from our clients asking about conversion potential when purchasing prime plots.
What We're Seeing in the Market:
More buyers asking about freehold vs. leasehold before purchasing
Increased demand for plots with clear conversion pathways
Buyers preferring freehold plots in high-growth areas to avoid future conversion costs
When you buy land previously held by foreigners, you often have a strong chance of converting it back to freehold ownership - something our clients frequently ask us about during their plot selection process.
Step-by-Step Conversion Process
1. Check Eligibility
Confirm your land qualifies and identify the correct authority to handle your application.
2. Gather Required Documents
Current leasehold title deed
National ID and KRA PIN
Proof of land rent and rates payments
Land rates clearance certificate
Consent from Commissioner of Lands
3. Submit Your Application
File with the appropriate authority (NLC, County Government, or Commissioner of Lands).
4. Land Valuation
Official valuers assess your property to determine conversion fees.
5. Pay Conversion Fees
Fees typically range from 2-5% of current land market value.
6. Receive Freehold Title
Once approved, you get a new freehold title deed – permanent ownership!
Why Convert to Freehold?
Financial Benefits:
Stop paying annual ground rent
Higher property value (freehold land typically worth more)
Better bank financing options
Stronger loan security for lenders
Family Security:
Own forever with no time limits
Pass to children and grandchildren permanently
Complete control over property decisions
No lease renewal worries
Is Conversion Right for You?
Consider converting if you:
Plan to keep the land long-term
Want to eliminate ground rent payments
Need better financing options
Want permanent family ownership
The conversion process requires patience and proper documentation, but the result – permanent land ownership – provides security that lasts for generations.
AMCCO's Industry Perspective
As a leading seller of prime plots in Kenya's high-growth areas, AMCCO Properties regularly helps clients understand the difference between freehold and leasehold ownership. Here's what we've learned from years in the industry:
Why We Focus on Freehold Plots: Most of our prime plots come with freehold titles, eliminating the need for future conversions and giving our clients immediate permanent ownership.
Client Education First: We believe in educating our buyers about all aspects of land ownership, including conversion options for those considering leasehold properties elsewhere.
Industry Observations: Through our work selling plots in rapidly developing areas, we've seen how freehold ownership provides better long-term value and peace of mind for families.
While AMCCO doesn't handle conversions directly, we're committed to helping Kenyans make informed land ownership decisions.
Ready to invest in land? Call/WhatsApp AMCCO Properties Limited on 0701 293 199 or 0722 99 30 30 for trusted support and free consultations.