Plight of property owners stuck with rent defaulters

Mary Mukasa owns apartments in Namugongo, a suburb in the outskirts of Kampala. For the past three months, Mukasa has been deliberating on what to do for tenants who are struggling to clear rent arrears.
“They have not paid rent for April, May and June,” Mukasa shares, adding: “Two of my tenants lost their jobs in April because of the effects of coronavirus pandemic.”
Mukasa says she has failed to come to a conclusive decision on what to do for the tenants.

“I can’t just kick them out because I also understand the situation on ground. These current times are difficult for everyone,” she says, adding, “But regardless of everything, I also need the money. These rentals are my only source of livelihood. I am a single mother taking care of four children.”

The case of dodgy tenants
Meanwhile, Joseph Mubiru, a landlord in Bweyogerere, located in the outskirts of the city centre, says the problem with some tenants is that they are not open with the landlords about the challenges they are facing.
“For example, a tenant might lose a job and won’t tell you. He keeps quiet about the issue and when the time comes to pay rent, he then becomes unreachable. Such a tenant will refuse to pick your calls or whenever he sees you, he hides,” Mubiru says.

Honesty
Mubiru believes that the rent dilemma during this Covid-19 season would easily be resolved if tenants were more open and honest with the landlords.
“If you can’t pay your rent for whatever reason, reach out to me. Call me up or set up a meeting. Then, let’s talk. Tell me the challenges hindering you from paying the rent on time while at the same time, tell me the different ways you are trying to address the problem. Such discussions will enable both of us come to some kind of common understanding,” he says.

Mubiru says tenants should always see to it that they are honest with their landlords. “When you are honest, landlords become more considerate and understanding. I mean, they are also human beings and understand that life is not always perfect,” he says.
Mubiru believes that landlords and ladies only become demanding when tenants are either dishonest or are constantly playing cat and mouse games (avoiding them or hiding from them).
So, his advise to tenants is, “always be straightforward with your landlord or lady.”

Escaping tenants
Some property owners are now turning to social media to name and shame tenants escaping from apartments without clearing their arrears. A case in point, last month, one landlady went on Facebook and vented out that a former tenant had escaped with his property without paying rent arrears.
On the same social media platform, another one expressed her frustration after a former tenant also escaped from the apartment with his property without paying rent of four months. And to add salt to injury, he had left the interior part of the apartment in a sorry state.
The bathtub had huge holes punched in it.. This particular landlady shared on her Facebook wall that rather than being remorseful, the tenant had the audacity to send her a message saying: “I will go by the presidential directive.”

Defaulting because of directive
During his address on coronavirus on Wednesday April 9, President Museveni asked property owners to be patient with their tenants because of the effects coronavirus had brought onto the economy and individuals.
He went ahead to warn them against evicting tenants who failed to pay monthly dues.
Some property owners believe certain tenants are using this directive as a protective blanket to run away from the responsibility of paying their rent arrears.

What can property owners do?
Despite the situation on ground, people should understand that landlords and ladies also need this rent money to cater for different responsibilities, says Muhammad Kizito who serves as a community leader and landlord in Kireka, located in the outskirts of Kampala. But because not everyone can afford to pay rent during this season, Kizito says owners should organise meetings with tenants to find common ground.

And when it comes to evictions, Sharon Kisakye, a lawyer, says there are processes landlords and ladies should follow before ejecting a tenant from their property.
“Even if the apartment is yours, as a landlord, you can’t just kick a tenant out of it probably because they have failed to pay rent, are damaging property or for other reasons,” Kisakye says.

There are legal ways of conducting an eviction.
“If you are a landlord demanding rent from a tenant, you could ask or pressure them to pay it,” Kisakye says.
And what if asking or putting the tenant under pressure to pay the rent does not work, what should the property owner then do?
Kisakye says that one can then fall back to the tenancy agreement before taking any other further action which may include going to court.

Legal view
Ivan Bwowe, a lawyer, says:

● People must first understand that the president’s directive warning owners against evicting tenants who fail to pay is not law. Whatever he said is not enforceable legally.
● We have a clause major in law where literally the owner cannot enforce a contract where such occurrences like coronavirus and lockdown have happened beyond the control of the tenant. So far, we don’t have a law as per say on direct relief to address the mortgages and payment of utilities, and probably that is why we are only hearing advisories from Bank of Uganda, Ministry of Finance and the President.
● The landlords are undoubtedly in a very tricky situation. My advise to them is to re-negotiate with tenants so that they reach an amicable agreement. While doing so, landlords should respectfully tell tenants that there are particular obligations that should not be abandoned.
Legally, it’s a dead end because even if one wanted to evict the tenant, they would have to give them an eviction notice, then court may have to be involved, which the process also is very costly.
Also, if the tenant leaves amidst the current housing market crisis, there are high chances a landlord may not easily get another occupant.