Ugandan billionaire Sudhir Ruparelia buys Old Mutual's Kampala building

Ugandan billionaire Sudhir Ruparelia has bought Old Mutual's commercial building on Kimathi Avenue in Kampala's central business district, adding another landmark property to one of East Africa's largest private real estate portfolios.

The building, long known as the UAP Insurance Building, sits on Plot 1 Kimathi Avenue and was sold for an undisclosed sum, PML Daily reported, citing people familiar with the transaction.

The property was once the Kampala headquarters of UAP Insurance Uganda and was also the registered address of UAP Properties Uganda. UAP Old Mutual moved its insurance operations to Nakawa Business Park on Old Port Bell Road in 2016, but the Kimathi Avenue building stayed tied to the group's property interests for years afterward.

Old Mutual sells off property

The deal is part of a wider retreat from real estate by Old Mutual in East Africa. In September, Arthur Oginga, chief executive officer of Old Mutual Holdings, said the group was reviewing offers for properties in Uganda and expected progress on its regional disposal program in the coming months. Some of those sales could close by mid-2027, he said.

Management has said rental income from the portfolio has failed to keep pace with market interest rates and that property values have barely grown over roughly a decade. The group has already disclosed sale agreements for properties in Kenya, received a deposit from Rwanda's government on a building there and attracted interest in properties in South Sudan.

Old Mutual Holdings reported KSh19.42 billion in investment property at the end of 2024, down from KSh21.24 billion a year earlier. Its 2024 accounts valued Nakawa Business Park at KSh4.37 billion, with investment property in Uganda totaling about KSh5.1 billion. Several Old Mutual businesses in Uganda still operate from Nakawa, though the company has said it is willing to sell regional assets if it receives acceptable offers.

South Africa's Old Mutual Limited owns 67% of Old Mutual Holdings, the Kenya-registered company that holds much of the group's East African business.

Ruparelia's buying spree

The purchase adds to a property empire that Ruparelia holds mostly through Meera Investments. Crane Management Services, the Ruparelia Group's property manager, oversees more than 450 properties, including offices, hotels, homes and shopping space.

The group has grown through both new construction and the purchase of existing buildings. Its developments include Kingdom Kampala, Pearl Business Park and Windsor House.

Ruparelia has also been a regular buyer of buildings sold under pressure. In October 2020, Meera Investments paid $5 million for Simbamanyo House on Lumumba Avenue after Equity Bank put it up for auction. The building houses Uganda's Ministry of Gender, Labour and Social Development and was later renamed Gender & Labour House. In 2024, Ruparelia and his wife, Jyotsna, bought the 14-story Lotis Towers in Nakasero for about $6 million after an auction by dfcu Bank and renamed it Arie Towers.

Ruparelia's holdings also include Speke Resort Munyonyo on the shores of Lake Victoria and a string of hotels, schools and businesses across Uganda. He is Uganda's best-known businessman and one of the few East African entrepreneurs Forbes has ranked as a billionaire.

A split office market

The Kimathi Avenue deal comes as Kampala's office market divides between newer, well-run buildings and older stock. Average rents for Grade A offices rose to $17 per square meter a month in the first half of 2026, from $16.50 a year earlier, according to Knight Frank Uganda. Rents for lower-grade AB offices fell to about $14 from $14.50. Occupancy averaged 87% in the best buildings and 83% in Grade AB properties.

Knight Frank described the trend as a "flight to quality," with tenants paying more attention to building quality, layouts, management and parking. It said more than 130,000 square meters of new office space is in the pipeline and that much of the current demand comes from businesses moving between buildings rather than new tenants entering the market. Older buildings face longer vacancies and pressure to refurbish, offer more flexible leases or cut rents.

Ruparelia has not said what he plans to do with the building. The property sits in Kampala's traditional business district, a short walk from Kampala Road, Parliament Avenue and the offices of several banks, insurers and government agencies.