Kwale,KENYA: Nakumatt retail store in Diani Msambweni sub-county Kwale county was Friday shut down due to rent arrears.
According to Nakumatt employees who requested anonymity, the landlord locked down the building at around 8:30 am.
The letter pinned at the walls of the store stated that the landlord had taken possession of the premises due rent arrears owed by the supermarket chain.
The letter a quoted a lease agreement was quoted which was signed in 2010 giving landlords rights of re-entry into the premises if the rent is unpaid .
“In view of the of the past demands for rent owing, which you have admitted and failed to honor promises to pay the same; and in exercise of our rights under the lease as above stated, the Landlord has at the date hereof taken possession of the premises and the term granted under the lease now stands absolutely terminated and the and the Landlord now assumes control of the premises” reads the letter.
Another letter by Phillip Muoka & Co advocates to the Land states that an application by the retail shop to appoint an administrator was dismissed and therefore the Landlord has right of re-entry.
“As the application has been dismissed, the approval of the court is not applicable. You may therefore exercise your right of re-entry as is appearing in the Lease between yourselves and the Company” read parts of the letter.
This comes a few weeks after another of the troubled chains outlets Nakumatt Bamburi was closed down.
The chain outlets could face liquidation after the high court threw out a petition filed by the management to through Lawyer Kamau Karori to appoint a receiver.