Speculation rife as Kisii’s Ouru Plaza to go under the hammer

The announcement of the impending auctioning of a modern, multimillion shilling office block in Kisii Town could signal a decline in the fortunes of the Ouru family.

The Prime property, known as Ouru Plaza, sits on a 0.054 hectare parcel of land located along the main Kisii-Kisumu Highway next to the town’s old public vehicles terminus.

According to Garam Investments Auctioneers, the building’s bidding price has been set at Sh275 million.

In an advertisement  in the Daily Nation on Monday, the firm put up the building for sale, leading to rumours and speculation on the fortunes of the famous Mogaka family.

Documents related to the auction indicate that the title to the property is registered in the name of Ms Esther Mogaka, the wife of Mr Ken Ouru.

The Ourus own the building, as well as a number of other properties in Kisii Town, including the Ouru Discount Centre.

BANK LOAN

They are a scion of the Mogaka family that owns several properties in the town, including the Ouru Superstores, the Ouru Twin Towers, and Ouru Hyper Stores.

Kisii Town’s rapid development in the last two decades has been partly spurred by the construction of several high-rise buildings by the likes of the Mogaka family, A Jiwa Shamji, Dr Anil Taylor, and the Nyachae family, among others.

Tenant and mobile phone accessories supplier Mr William Ong’uti said he was surprised by the newspaper but expressed confidence that his business would not be affected.

“We hope for the best as we prepare for the worst. All I can do is wait and see what will happen after the advertisement,” he said.

The auctioneer’s hammer is due to fall on October 14.

The sale is believed to have been prompted by the owner’s failure to service a loan that she took from a bank a few years ago.

It was not possible to determine how much money the Ourus owed since bank officials were not willing to discuss the matter. 

“Bidders are required to produce a refundable bidding deposit of Sh10 million by way of cash or a banker’s cheque before being allowed to bid,” said  the Garam Auctioneers’  statement.

Auction details reveal that the property comprises a basement parking plus a number of shops, ground to sixth floor office space that houses banks, shops offices and eateries.

A  confidant of the family who requested for anonymity because he is not allowed to speak to the media told the DN2: “It’s not the first time we have seen announcements regarding the intended auction of this building,” said the confidant.

Efforts to reach Ms Ouru on her mobile phone were fruitless as she did not pick up our calls.