- Under the envisaged new law, a formal regulatory body will among other things help eliminate unregistered property developers, brokers and agencies linking landlords and tenants
The government is in the process of setting up a suitable framework for the introduction of a real estate development regulatory body to oversee an obviously lucrative but currently uncontrolled sector, it has been confirmed.According to the Minister for Land, Housing and Human Settlement Development, William Lukuvi, the regulatory body will be one of the fruits of a new law currently in the pipeline on real estate matters.
The minister told The Guardian in an exclusive interview in Morogoro that the Real Estate Development Bill is set to be tabled in parliament “as soon as possible”.
If passed into law, it will among other things eliminate unregistered middlemen linking landlords and tenants and help the government identify who owns what and where, and who pays how much rent where.
“When the bill becomes law, all property developers, brokers and agencies will be registered in one log,” Lukuvi explained, adding: “Those who fall short of the laid-down qualifications will be automatically out of business.”
The minister said the decision to form the regulatory body was based on two reasons; firstly, to collect commensurate revenue from property owners estimated to be in terms of billions of shillings, and in effect expand the government‘s tax base.
Secondly, it is the government’s response to complaints made by tenants against landlords who tend to act like they are virtually above the law.
All commercial or residential property owners and agencies in the country will be registered afresh under the new law, Lukuvi said.
He explained that it had come to the government’s attention that there are too many unregistered real estate brokers operating under the radar and subsequently proving a nuisance factor, inviting accusations of dishonesty in their dealings with clients.
Although there are no official figures available, the real estate industry has in the past decade or so experienced a big boom in the country and especially in the commercial capital Dar es Salaam.
Meanwhile, the minister also said the government is reviewing the National Land Policy of 1995 and e National Human Settlements Development Policy of 2000 so as to formulate a National Housing Policy.
He said this will go concurrently with an exercise in surveying and issuing title deeds in urban areas and Certificates of Customary Right of Occupancy (CCRO) in rural areas.
The government has already contracted 63 private surveyors to conduct the surveying exercise and 33 planners to locate the mapped areas, he explained.
Lukuvi emphasized that the surveying exercise is crucial in that it aims to reflect the true value of land properties countrywide.
Morogoro regional commissioner Steven Kebwe pointed out that the plot surveying exercise will prove economically valuable to the owners since the CCROs can be used as collateral.
Also, good land use planning plays a significant role in reducing ongoing conflicts between farmers and pastoralists, Kebwe further noted.
“Without land use planning, the ongoing land disputes among cattle herders and farmers will persist, causing deaths, injuries and loss of properties,” the RC said.
If passed into law, it will among other things eliminate unregistered middlemen linking landlords and tenants and help the government identify who owns what and where, and who pays how much rent where.
“When the bill becomes law, all property developers, brokers and agencies will be registered in one log,” Lukuvi explained, adding: “Those who fall short of the laid-down qualifications will be automatically out of business.”
The minister said the decision to form the regulatory body was based on two reasons; firstly, to collect commensurate revenue from property owners estimated to be in terms of billions of shillings, and in effect expand the government‘s tax base.
Secondly, it is the government’s response to complaints made by tenants against landlords who tend to act like they are virtually above the law.
All commercial or residential property owners and agencies in the country will be registered afresh under the new law, Lukuvi said.
He explained that it had come to the government’s attention that there are too many unregistered real estate brokers operating under the radar and subsequently proving a nuisance factor, inviting accusations of dishonesty in their dealings with clients.
Although there are no official figures available, the real estate industry has in the past decade or so experienced a big boom in the country and especially in the commercial capital Dar es Salaam.
Meanwhile, the minister also said the government is reviewing the National Land Policy of 1995 and e National Human Settlements Development Policy of 2000 so as to formulate a National Housing Policy.
He said this will go concurrently with an exercise in surveying and issuing title deeds in urban areas and Certificates of Customary Right of Occupancy (CCRO) in rural areas.
The government has already contracted 63 private surveyors to conduct the surveying exercise and 33 planners to locate the mapped areas, he explained.
Lukuvi emphasized that the surveying exercise is crucial in that it aims to reflect the true value of land properties countrywide.
Morogoro regional commissioner Steven Kebwe pointed out that the plot surveying exercise will prove economically valuable to the owners since the CCROs can be used as collateral.
Also, good land use planning plays a significant role in reducing ongoing conflicts between farmers and pastoralists, Kebwe further noted.
“Without land use planning, the ongoing land disputes among cattle herders and farmers will persist, causing deaths, injuries and loss of properties,” the RC said.
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