Leasehold Land Tenure System

Leasehold Land Tenure System

Leasehold Land Tenure System is a kind of land ownership for a particular period of time. In Uganda one can get a lease from an individual, a local authority, an organization or Company, an institution like Buganda Kingdom or from Uganda government for a period usually 49 or 99 years or in between under agreed terms and conditions.

The leasehold transactions, being essentially contractual allow parties to define the terms and conditions of access and usage in such a manner that suits their give-and-take land use needs. A grant of land would be made by the owner of freehold, customary or Mailo or by the Crown or Uganda Land Commission to another person. The grantee of a lease for an agreed period of time is entitled to a certificate of title.

Leasehold form of land tenure is whereby a property owner grants the right to another party the exclusive possession of land for a stated time period regularly in exchange for a rental fee. Any land owner in Uganda whether for Mailo freehold or customary tenure may award a lease to another individual.

In practical terms, most of the land under leasehold was formerly owned by government agencies and bodies, predominantly the Uganda Land Commission and District Land Boards. These bodies tend to enforce some development conditions for the subsequent use of the land. Leasehold tenure is usually granted for a payment of rent, premium, both or for free of charge.

How does Leasehold Tenure Work?

Leasehold tenure is a form of land tenure created either by contract or by operation of law. The terms and conditions of which may be regulated by law to the exclusion of any contractual agreement reached between the parties. Under leasehold, one person, namely the landlord or lessor, grants another person, namely the tenant or lessee an exclusive possession of land usually for a period of time. The lease is usually in return for a rent which may be for a capital sum termed as a premium or for both a rent and a premium but may be in return for services or may be free of any required return. Under this tenure, both the landlord and the tenant may, subject to the terms and conditions of the lease and having due regard for the interests of the other party, exercise such of the powers of a freehold owner as are appropriate and possible given the specific nature of a leasehold tenure system.

Other types of Land Tenure System in Uganda

Apart from owning land under leasehold tenure, one may also have ownership under mailo land tenure, Freehold tenure or customary land tenure system. Land titles that confirm ownership of property are issued for all the land tenure categories.