Cancellation of Skyscraper Proposal in Nairobi Upheld by Judiciary

The proposed project would have contained triplet towers with residential, office, and hotel functions.

10 February 2020 | Nairobi, Kenya

Cytonn Investments underwent a major setback in its plan to erect a KSh20 billion (US$199 million) tower complex in Kilimani, Nairobi after the company failed to convince the High Court to overturn a Nairobi City County’s (NCC) 2018 resolution that canceled construction.

Cytonn had in July 2017 received the NCC approval to build the three-tower complex on a 4-acre (1.6-hectare) piece of land at the junction of Elgeyo Marakwet and Argwings Kodhek roads inclusive of the land acquisition bill of KSh1.5 billion (US$1.5 million).

Featured Buildings

Cytonn Towers (Complex)

Cytonn Hotel Tower

Cytonn Office Tower

Cytonn Residential Tower

Dubbed Cytonn Towers, the buildings were fashioned as a 150-meters and 35 stories each, with 30 floors of 174,139 square feet (16,000 square meters) office and commercial space available to lease. The complex was also planned to include 180 hotel rooms, 160 serviced apartments, three-bedroom duplex apartments, and penthouse suites as well as three basement parking levels that could fit 1,500 cars.

The tower was expected to host one of Kenya’s highest suspended restaurants, as well as a large elevated infinity-edge pool, a massive ballroom, a double horizon fitness club, and an observatory deck.

The project, whose completion was scheduled for December 2022, was to be funded by local and global investors’ funds, with Finnish asset manager Taaleri Plc as the main investor.

According to Cytonn CEO Edwin Dande, Cytonn Towers sought to “meet the luxury housing demand, premier business office space, and hotel and conferencing facilities while offering target returns of 25 percent per annum to investors”.

But in a strange twist of fate, NCC on 30 April 2018 resolved to cancel the approval of the project, saying that Cytonn had failed to show how a predictable increase in traffic triggered by the project would be handled.

Kilimani residents had also protested the construction of Cytonn Towers arguing that it would disturb their lives and businesses.

Cytonn moved to court to challenge the cancellation, arguing that NCC had no authority to cancel an approval once it had granted it. The company said it had addressed the issue of traffic and engaged with Kilimani residents.

In his ruling, Justice John Mativo said there was no evidence that the NCC abused its powers under the law by canceling the multi-billion-shilling project.

“I find and hold that this judicial review application is unmerited,” Justice Mativo said.

For more on this story, go to Construction Kenya.