This country is for sure being driven at a neck breaking speed by consummate city thugs on a road that can only lead us into self destruction.
With unparalleled insatiable appetite to syphon tax payers' money, when it comes to government compensating incumbent owners of land that has been identified as a way to solve the daunting issues of vendors in the city, the syndicated thugs have arbitrarily hiked and over valued the land that government is said to be interested in with the aim of making unprecedented kill for themselves and their cohorts in government.
These over inflated figures would mistakenly make many to believe two things:
1. That actually the value of property in the city has gone up.
2. That the property economy is booming.
However, nothing can be far from the truth than this air ballooned scam of city thuggery.
For the price of land in Kisenyi to jump to an astronomical value cost of $7mn per acre, there must have been tremendous value land appreciation which can only be attributed to investments in the area.
Value of land can't just be hiked within the imaginative heads of the land dealers and those who want to cheat Ugandans.
What is surprising is that an old land lady with one acre of land may be even adjacent to the one of Bosco Muwonge which KCCA is fronting to pay for, would never be able to be offered even a tenth of what they are offering Muwonge.
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That only tells you that this is a crafted syndicate to fleece government of huge sums of money.
This would be a repeat of what happened when USAFI market was bought at equally unrealistic cost value for which there has never been value for money.
For argument's sake, if an acre of land in Kisenyi is valued at $7mn what will be the value of similar land in Kololo, Nakasero, Muyenga, Old Kampala, Kibuli, Ntinda or Najjeera?
What is frightening is that some unscrupulous business person will walk into a gullible bank with a land title of such inflated land as collateral and the bank will go ahead to offer the guy a hefty bank loan facility which is in the a tual sense far beyond the realistic value of the collateral. The receiver who definately has no intentions of paying back the loan will enventually simply disappear in thin air.
The bank in a way of wanting to recover it's money, will seek to sell off the land. That is when the rubber meets the ground!
The reality only comes to dawn on everyone when the bank actually fails to get buyers for the land.
The bank loan then must be written off as unrecoverable asset.
If such cases are more than few, very easily you will find the bank folding up!
That is exactly what happened to Lehman Brothers Bank in the USA.
It is dangerous to the economy for inflated property to be condoned or abbeted to thrive. Soon or later depending on different factors in the economy, that prentetious bubble will burst and things can't go well for many.
