Eronda
JF-Expert Member
- Dec 16, 2025
- 1,006
- 548
Businessman Hassan Basajjabalaba has told Parliament’s Committee on Commissions, Statutory Authorities and State Enterprises (COSASE) that his company legally acquired a lease over Kampala’s iconic City Square in 2001, paying Shs1.635 billion to Kampala City Council (KCC).
Basajjabalaba explained that his firm won the redevelopment tender after defeating about five other bidders, securing a sublease over the 2.5-acre property. He emphasized that the agreement was legitimate and backed by official documentation.
“I will give you the receipt, the offer letter—I will give you everything. We have the sublease,” he told legislators.
According to Basajjabalaba, the redevelopment plan envisioned preserving the green space above the square while introducing commercial activity underground. He maintained that the project was designed to balance public access with private investment.
The businessman’s testimony comes amid renewed scrutiny of government compensation claims linked to his terminated contracts. While the Auditor General previously cited a Shs140 billion guarantee from Bank of Uganda, Basajjabalaba insists he never received the full amount and instead argues that government owes him Shs87 billion.
City Square, also known as Constitutional Square, remains a symbolic public space in Kampala. The revelation that it was leased to a private developer has sparked debate over the management of public land, accountability in compensation, and the future of urban green spaces.
COSASE members expressed concern that such a central public property could be subject to private claims, highlighting the need for clarity on the lease’s validity and government’s obligations.
Basajjabalaba explained that his firm won the redevelopment tender after defeating about five other bidders, securing a sublease over the 2.5-acre property. He emphasized that the agreement was legitimate and backed by official documentation.
“I will give you the receipt, the offer letter—I will give you everything. We have the sublease,” he told legislators.
According to Basajjabalaba, the redevelopment plan envisioned preserving the green space above the square while introducing commercial activity underground. He maintained that the project was designed to balance public access with private investment.
The businessman’s testimony comes amid renewed scrutiny of government compensation claims linked to his terminated contracts. While the Auditor General previously cited a Shs140 billion guarantee from Bank of Uganda, Basajjabalaba insists he never received the full amount and instead argues that government owes him Shs87 billion.
City Square, also known as Constitutional Square, remains a symbolic public space in Kampala. The revelation that it was leased to a private developer has sparked debate over the management of public land, accountability in compensation, and the future of urban green spaces.
COSASE members expressed concern that such a central public property could be subject to private claims, highlighting the need for clarity on the lease’s validity and government’s obligations.
