KAMPALA – A wave of business closures has hit several prominent city buildings as tenants protest what they describe as “exorbitant and arbitrary” rent increments imposed by business mogul Drake Lubega.
The protest, which has affected properties including Energy Center, Kabaale Arcade, Money Center (Mini Price), Katonga Business Center, Apple Tower, and Virna Arcade, began early this week. Traders have taken a collective decision to lock their shops, vowing to continue the demonstration until the tycoon cancels the new rental rates.
The tenants argue that the increases are not only crippling their businesses but also contravene the recently passed Landlord Act, which was designed by Parliament to regulate such practices and protect tenants from unfair eviction and sudden, drastic hikes.
“We are being squeezed out of business,” lamented one trader who requested anonymity for fear of reprisals. “Mr. Lubega increases the rent whenever he feels like, without any consideration for the current economic situation. Our profits are disappearing into rent. This protest is our last resort.”
The traders’ action highlights the growing tension between commercial property owners and their tenants in Kampala, amid a challenging economic climate.
However, the landlord, Mr. Drake Lubega, has firmly defended his position. In a statement that has since sparked further debate, Lubega argued that operating in the heart of Kampala is a premium venture.
“Kampala city is now for the rich,” Lubega stated. “If any tenant feels that they cannot manage the rent increase, they should look for cheaper places to rent. I also have nothing to do with it because I don’t own the buildings but rather get a commission like any other business person.”
This defense suggests that Lubega may be acting as a managing agent or prime lessee for the properties, but it has done little to pacify the aggrieved traders. They maintain that his actions are predatory and ignore the legal framework established by the new law.
As the standoff continues, the closed shops paint a picture of a commercial standstill in usually bustling arcades, with both sides holding their ground. The situation remains tense as tenants wait to see if their collective action will force a negotiation or if they will be forced to vacate the city center in search of more affordable options.
