US investor sues over Sh225M failed 88 Nairobi deal

A Sh225 million property gamble tied to 88 Nairobi just blew up in court, with an American investor accusing the developer of engineering a default to grab his cash.

Sh225 million dispute over 88 Nairobi

• 88 Nairobi is facing a lawsuit at the Milimani Environment and Land Court.
• American investor KYH claims losses exceeding Sh161 million.
• Eighty-Eight Nairobi Limited is accused of mishandling a ten-unit deal.
• The Upper Hill project was marketed as Africa’s tallest residential skyscraper.

Payment clash and cancellation threat

• KYH signed the agreement in March 2024 for premium apartments.
• By October 2024, he had wired about $1.25 million.
• The developer later demanded an extra $250,000 within three days.
• That short deadline allegedly came with a cancellation warning.

Alleged communication games and defaults

• The investor says notices bypassed his Kenyan legal representatives.
• Critical emails reportedly reached him while he was traveling.
• KYH argues the move was meant to trigger a technical default.
• The suit also names Jonathan Jackson and the Lordship Group.

Forfeiture clause and wider impact

• Contract allows up to 50 percent retention on buyer default.
• Roughly Sh113 million could be kept under that clause.
• Refunds, per agreement, would only follow resale without interest.
• KYH wants the other 88 Nairobi buyers allowed into the case.