Kenya Defence Forces (KDF) is set to acquire 3.7 acres of Uchumi Supermarkets’ Lang’ata branch.
The National Land Commission (NLC), is said to be working on papers that will enable troops convert the prime plot into military use.
However, the land is subject to a legal battle after its owners, Uchumi, defaulted on a Ksh. 172 Million loan.
UBA has been seeking to auction the property that was used as security in acquiring the loan.
The cash-strapped retailer is betting on the proceeds of the KDF sale to aid its turnaround as the bank lays ownership to the property.
Uchumi is banking on a Company Voluntary Agreement (CVA) decision that halted the ahction.
Under the CVA, the retailer and 121 suppliers were to form a committee and agree on how to settle Sh4.2 billion owed to them and ensure the payments are made on time.
