Tatu City, a prominent foreign direct investment project in Kenya, has accused Kiambu County Governor Kimani Wamatangi and his advisor of attempting to extort KES 4.3 billion (USD 33 million) in land.
The accusation was made public during a press conference in Nairobi, where Tatu City’s representatives detailed the alleged extortion attempts.
Tatu City, developed by Rendeavour, Africa’s largest new city builder, whose shareholders include investors from New Zealand, United Kingdom, United States and Norway, claims that Governor Wamatangi has delayed the approval of its new Master Plan for over a year and a half.
This delay, according to Tatu City, stems from Wamatangi’s and county officials’ demands for over 40 acres of land, including land for the governor’s residence.
“It’s time to blow the whistle on Governor Wamatangi’s attempted extortion of Tatu City, Governor Wamatangi, in a series of meetings with Tatu City and its representatives, has illegally demanded free land in return for approving Tatu City’s new Master Plan. We condemn Governor Wamatangi for harming Kenya’s investment climate and destroying job creation.”said Preston Mendenhall, Chief Operating Officer and Kenya Country Head at Rendeavour.
Tatu City estimates that the governor’s delay has cost the county and country more than KES 16 billion (USD 125 million) in additional investment value and 4,500 new jobs for young Kenyans
Preston Mendenhall, Chief Operating Officer and Kenya Country Head at Rendeavour during the press briefing where he condemned Kiambu County Governor Kimani Wamatangi and his advisors for seeking to extort KES 4.3 billion (USD 33 million) in land.
It the press conference, Tatu City provided the media with a letter titled “Pending Issues” from Salome Wainaina, County Executive Committee (CEC) Member for Lands, Housing, Physical Planning, Municipal Administration, and Urban Development. In the letter dated April 16, 2024, Wainaina demands that Tatu City “surrender” over 40 acres of land, including land for Wamatangi’s residence. The letter and subsequent meetings indicated that the surrender of land was a condition for the approval of Tatu City’s Master Plan.
Kenyan law provides no legal basis for Tatu City to surrender land to Kiambu County without compensation. The Land Act of Kenya stipulates that if the government requires land for public purposes, a compulsory acquisition process with just and equitable compensation must follow.
To support its accusations, Tatu City presented documents outlining the rigorous approval process it followed for the new Master Plan. The amended Master Plan was submitted to the Ministry of Lands and Physical Planning for initial review, followed by stakeholder interactions, public participation, and a national advertisement inviting further comments. Despite meeting all requirements and addressing stakeholder feedback, the Kiambu County officials, including Wamatangi, refused to issue the necessary no objection letter.
Salome Wainaina, who authored the extortion letter, confirmed that Tatu City had met all requirements but admitted that she and Governor Wamatangi personally obstructed the approval process.
During the press conference, Tatu City called on Governor Wamatangi to cease interfering in land planning and investment matters and urged the CEC to issue the no objection letter for the revised Master Plan.
Since 2021, Tatu City has created over 20,000 jobs and become home to more than 2,000 affordable and mid-income apartments, several public and private schools with 6,000 students, and 82 businesses, including leading Kenyan and international companies. With over KES 385 billion in investments, Tatu City has developed significant facilities, such as a global 5,000-seat call center, cold storage, and logistics facilities, enhancing Kenya’s food and medicine security.
The unfolding controversy has put a spotlight on the challenges faced by investors in Kenya and raises concerns about the integrity of local government officials in managing foreign direct investments.