HomeNewsDrama as auctioneers seek to demolish Kilimani Mall

Drama as auctioneers seek to demolish Kilimani Mall

There was a standoff at a mall in Kilimani on Thursday, June 24, as auctioneers sought to demolish the business premises.

Kilimani OCPD Muturi Mbogo told journalists that the auctioneers had a court order allowing them to recover their debt of more than Sh 9 million.

However, they wanted to demolish the mall before police officers stopped them at the scene.

“The auctioneers wanted to demolish but to do that, they require a court order which they do not have,” Mbogo said.

Some Kenyans on Twitter had expressed concern claiming that the commotion experienced around the business premises caused a heave traffic snarl-up around the area.

“Heavy traffic on Likono road in Kilimani area because of what looks like major demolition of this upcoming shopping complexes,” Ledama Sampele, a netizen, Tweeted.

“Passed by Likoni Road, Kilimani, some people are about to cry. Demolitions. This property is less than a year old since it was completed. It was done with speed and Pomp,” another netizen wrote.

According to a report by the Central Bank of Kenya (CBK), in March 2021, thousands of homeowners defaulted on mortgage loan repayments, and therefore risk losing their homes and other properties.

Data by CBK showed that 14.5 per cent of all loans taken had defaulted.

As a result of the default, the Central Bank of Kenya noted that financial institutions were aggressively looking into auctioning properties of their borrowers to recover the loans.

“The increases in Non-Performing Loans (NPL) were attributable to the subdued business environment, and financial institutions continue to make provisions for the NPLs,” CBK Governor Patrick Njoroge noted.

Related news

Trending