14 landlords housing Nakumatt Supermarket have announced that they “do not wish to continue with Nakumatt as a tenant and do not support the proposals for recovery advanced by the administrator, Mr Peter Kahi.
The 14 landlords are Likoni, Karen Crossroads, City Hall, Galleria, Nakuru, Cinemax, Nyali, Highridge, Meru, Highport (warehouses), Nanyuki, Diani, Eldoret Household, and Malindi.
“This statement is issued on behalf of 14 landlords Nakumatt Holdings Limited […] to offer clarity to the larger body of Nakumatt creditors; to whom we have come to understand our position may be miscommunicated. It is not intended to prejudice or influence any ongoing litigation or dealings any individual landlord may have with the Administrator of Nakumatt,” the landlords say in a notice.
The landlords’ decision arises from an objective review of the recovery proposals, detailed consultations, and the failure of the Nakumatt-Tuskys deal where no alternative arrangement has been given. Therefore, the landlords are doubtful of Nakumatt ever recovering its financial position.
Furthermore, some of the landlords say they developed their outlets on loans which means they are at risk of having their properties taken by banks. The landlords also say the fact that Nakumatt has little stock on its shelves has reduced foot traffic to their properties which is also affecting other tenants, resulting in financial, losses, job cuts, and a greater risk of defaulting loans. In other words, Nakumatt’s woes are affecting a lot of businesses directly and indirectly.
5 landlords have sued Nakumatt while 2 other landlords will not renew their leases with Nakumatt, which are expiring soon. That means only 9 stores will be left which may or may not continue with Nakumatt as a tenant.
“We issue this notice to set the record straight on our position regarding Nakumatt’s continued tenancy at our 14 properties. All Nakumatt creditors and stakeholders should be advised accordingly so that they establish their individual positions with these facts,” the notice concludes.
The 14 properties are as follows:
- Norkun Investments Ltd, Galleria
- Ideal Locations Ltd, Nyali
- Nova Holdings Ltd, Likoni
- Nellea Ltd., Karen Crossroads
- K. Patel Ltd, Nakuru
- Nanyuki Mall Ltd, Nanyuki
- Kenindia Assurance, Eldoret Household
- Nyali Plaza Ltd, Cinemax
- Highpark Investments Ltd, Highridge
- Regent Management Ltd, City Hall
- Southcoast Holdings Ltd, Diani
- Sabaki River Holdings Ltd Malindi
- Bridge Water Invest Ltd, Meru
- Highport (Warehouses)
