Auctioneers descend on IMAX Theatres over rent arrears

Auctioneers have raided IMAX Theatre at 20th Century Plaza on Mama Ngina Avenue, Nairobi over a Sh8 million rent arrears as restrictions imposed to curb the spread of coronavirus take a toll on entertainment industry.

Ideal Auctioneers Wednesday carted away the theatre equipment and left the premises clean in a bid to raise arrears owed by Arfa Afra Limited which operates the cinema.

The auctioneers carried with them retractable seats, projectors, TV sets, power back-up units, roof and wall mounted speakers, POS, printers and computers, and bar and kitchen items.

“The order for sale of the property by our clients (landlord) are over accrued arrears over a period amounting to more than Sh8 million,” Mr Paul Githirwa from Ideal Auctioneers said.

The ban on social gatherings and closure of bars and restaurants has hit the entertainment sector hard. Also, the directive by some companies requiring their employees to work from home has affected businesses in the CBD that rely on after-work traffic.

President Uhuru Kenyatta in April urged property owners to reduce rents or defer payment to help tenants survive the tough economic environment brought by the pandemic.

However, a survey conducted by Kenya National Bureau of Statistics (KNBS) in May revealed that only 8.5 percent of property owners had offered rent reliefs in April.

A third of the tenants in the country said they were unable to pay rent in April, while 21.5 percent of those who defaulted said they had always met their obligations on time, highlighting the impact the global pandemic has on incomes.