KCB Group has seized posh property English Point Marina over a Sh. 5.2 billion unpaid debt. The luxury property is located in Mombasa. The bank has also placed Pearl Beach Hotels, the real estate firm that owns English Point Marina, under statutory management.
KCB Group first took over the property on Tuesday May 31, 2022. “I can confirm that KCB bank has taken over English Point ,” a source was quoted by a local daily as saying.
It was then blocked from the takeover by High Court. This High Court that had been issued by Justice Dora Chepkwony was however set aside by a decision by the Court of Appeal in early October 2022.
Prior to taking over the property, KCB had tried several times to have the debt restructured in a bid to help the property managers repay it. The restructuring did not bear any fruits.
It is now expected that the receiver-manager will sell part or all of the property with an aim of raising enough funds to settle the amounts owed to KCB.
English Point Marina is owned by Amin Kanji, his wife Leila, brother Alnoor, sister-in-law Nafisa and Nazir Jinnah. The luxury property is located by the harbour, and consists of 96 apartments, eight penthouses and a 26-room hotel.
The property has been sold to several people and the source said those who have purchased units will not be affected by the KCB takeover.
“KCB will conduct an audit of those who have bought units. Those who have paid up will get their houses while those who are yet to complete payments will process the remainder under the bank” a source privy to the matter was quoted as saying.
A few months ago, the property was rocked with money laundering and racism allegations. Buyers at the property alleged that they have been locked out of houses despite paying Sh. 600 million for them.
Racism, money laundering rocks Mombasa English Point Marina
The buyers claimed that an internal memo ordered English Point Marina’s staffers to discriminate against black African homeowners by implementing strict rules to deny them access to the property.
The disgruntled buyers included Rockefeller Foundation Africa boss William Asiko, Jubilee financier Sam Kairu and tycoon Booker Mbugua. Others are Susan Muigai, Kariuki Minju, Joseph Wanjui, Solomon Bundi, James Kinuthia, Resilient Investments, Everywhere Investments and Silverline Investments.
