Glossary
Acre
A measure, usually of land, equal to 43,560 square feet in any shape. A square acre is 208.75 feet on each side. 1 acre = 0.44 hectares
Beacon
These are marked posts that indicate the dimensions, demarcations or boundary of a piece of land.
Caveat
A warning on a title to a purchaser that a third party might have some interest or right in the property.
Certificate
Kenya: Is a document given to the owner of properties instead of a title deed. This only happens in apartments and town houses where several units share one title deed because they are built in one piece of land.
Charge
Kenya: Refers to a property whose ownership documents are held by a bank or any other financial institution, as the owner owes the bank or financial institution money, i.e. the property is charged to Bank.
Deed Plan
A drawing or sketch indicating the exact location, shape and measurement of a plot or parcel of land.
Discharge
Is a certificate given by a Bank to which a property was charged after its debts have been settled.
Encumbrance
A legal right or interest in land that affects a good or clear title, and diminishes the land's value. It can take numerous forms, such as zoning ordinances, easement rights, claims, mortgages, liens, charges, a pending legal action, unpaid taxes, or restrictive covenants.
Freehold
Freehold land is governed by the Registered Land Act (RLA) Cap 300 of the Laws of Kenya. The Act provides that the registration of a person as the proprietor of the land vests in that person the absolute ownership of that land together with all rights, privileges relating thereto. A freehold title generally has no restriction as to the use and occupation but in practice there are conditional freeholds, which restrict the use for say agricultural or ranching purposes only.
Hectare
This is a unit in measuring the size of a plot. The two mostly used area units in Kenya are acre and hectare. 1 HA = 2.471 Acres.
Land
This is defined to include land covered with water, all things growing on land, buildings and any other thing permanently fixed to it. (The Registered lands Act Cap 300)
Lease
A legal document in which the owner of a property transfers the right to use and occupy his property to another for a specified duration, purpose and for a payment.
Lease Hold
Leasehold is an interest in land for a definite term of years and may be granted by a freeholder usually subject to the payment of a fee or rent and is subject also to certain conditions which must be observed. Leases are also granted by the government for government land, the local authorities for trust land and by individuals or organizations owning freehold land.
The maximum term of government leases granted in Kenya is 999 years for agricultural land and 99 years for urban plots. There are few cases of 33 years leases granted by government in respect of urban trust lands. The local authorities have granted leases for 50 and 30 years as appropriate (GOK 1996).
Letter of Offer
A document which details out main terms and conditions of a tenancy or sale to be signed by both parties of the tenancy or sale transaction and is always drawn before payments are made.
Off-Market Land
The term "off-market" refers to land or property that is for sale but, because of the seller’s wishes, it is not publicly advertised.
Sale Agreement
A legal document signed by both the buyer and the seller stating the terms of the agreement reached by both parties. It usually states the mode of payment and timing of the transaction.
Sublease
This is created when the head lessee transfers his interest (whole or part) in the property to another tenant for a duration which is normally shorter than period of the head lease. This is normally executed upon consent retained from the lesser (Landlord)
Tenure
Refers to the period of ownership of a property, usually, leasehold or freehold.
Title Deed
This is a document held by the owner of a property showing the status of the property e.g. - The owner of the property, - Whether the property is leasehold or freehold and from which year it is leasehold - location of the property.