Goons paradise at LBDA hotel premises after lease termination

By Reporter

A battle over a government-leased hotel premise at the Kisumu Lake Basin Development Authority (LBDA) mall has been turned into a goons’ paradise.

The goons from each side of the divide have turned the facility into a battleground, with one overseeing the eviction while the other presides over the return of the evictee to the facility in the recent past.

The investor, former Permanent Secretary Irungu Nyakera, trading as Fairways Hospitality Kisumu Limited, is in a battle with the LBDA management after his lease was terminated over alleged failure to pay rent.

Irungu today posted on his Facebook page claiming that at 5:00 a.m. today, over 100 goons attacked his hotel in Kisumu, damaging property and injuring their staff.

An enraged Irungu said he shot twice in the air to scare the goons and claimed that despite his telephone call to the OCS to intervene, it was not heeded.

“Upon hearing the commotion, I quickly went after them, shooting twice in the air as they fled. I called the OCS and asked for backup, but an hour later, when no backup was forthcoming, I sent him a message that I intend to shoot anyone stepping into my property. I hope he shared the message in their security WhatsApp group,” he said.

But the Managing Director of LBDA, Wycliff Ochianga, said Nyakera had not been paying rent on the facilities and this prompted the termination of his lease and eventual eviction.

In a termination letter captioned “Termination Notice and Demand for Settlement of Rent Arrears, Legal Costs and Incidental Expenses Regarding Lease over Land Reference Number 15239,” the authority outlined the reasons for ending the lease.

“We refer to the above matter, the demand notice dated 16th October 2025 and court ruling of 12th February 2025, details of which are within your knowledge.

As you are aware, you have fundamentally breached these covenants. Despite acknowledging a debt of Sh27,431,473 in the consent agreement dated 3rd June 2025, you failed, neglected and refused to honor the repayment schedule, culminating in High Court Civil Suit No. E028 of 2025 wherein you sought to bar the lessor and its agent from executing against you for failure to comply with your payment obligations under the lease agreement and consent agreement,” read the letter dated February 12, 2026.

Ochianga said the investor had defaulted on settling rent for the month of May 2025 to date despite a formal demand issued on September 22, 2025 and October 18, 2025.

He said the accumulated rent as of February 2026 stood at Sh25,968,655 and consequently the lease was terminated by the authority.

“Pursuant to Clause 6(a) of the lease agreement, the landlord is empowered to terminate the lease and re-enter the premises if rent remains unpaid for 45 days. Take notice that the authority hereby exercises its right of immediate termination of your lease.

The leasehold estate created is hereby determined absolutely, and the authority shall proceed to re-enter and repossess the premises situated on Land Reference Number 15299, Kisumu, including all fixtures and fittings, as provided for under Clause 6(a) and Clause 4(a) of the lease agreement,” he wrote.

Nyakera said he had a similar incident three weeks ago where goons, working alongside their landlord LBDA, came to the premises, carted away their merchandise, and locked them out of their own premises.

Facts about the facility

Location: The facility is situated at the Mamboleo Junction along the Kisumu–Kakamega Road, approximately 3.5 km from the Kisumu CBD.

Hotel Facility: The five-floor, 60,000-square-meter complex features a modern three-star hotel within the mall structure.

Features: The site includes a 330-car parking area, showrooms, and is secured with 24-hour CCTV and electric fencing.

Status: The mall has been open to the public since 2017.

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