Rental Blocks and Residential Buildings for Sale

What residential buildings and rental blocks do we list?

A rental block is a building of several self-contained units sold as one income property. Sellers usually advertise the number of units, the monthly rent the building collects and the size of the plot. In our listings on 3 November 2026, at least 16 of the 33 apartment and house listings were whole buildings rather than single flats (Land & Property listings, Nov 2026). Our dedicated residential building category is new and had no listings filed under it on that date, so sellers had filed these blocks under the apartment or house categories. Use the residential building filter and the apartment and house filters together.

Most blocks are in northern Kampala and Wakiso: Kyanja, Komamboga, Kisaasi, Kira, Kyaliwajjala and Namugongo. The listings that state tenure say private mailo, and one building in Ndejje Namasuba, Entebbe Road is leasehold with 36 years remaining. A short lease shortens the income period and lowers resale value, so ask for the lease terms. If you want a single flat instead of a whole block, read apartments for sale in Kampala.

What do the listings say about units, rent and price?

The table below lists the blocks that state a monthly rent. The rents and unit counts are the sellers' own claims in the listings, not figures we have verified, and the yield is our arithmetic: monthly rent times 12, divided by the asking price.

Across these 14 listings the gross yield runs from 9.2% to 12.0%, with a median of about 10.4%, and the asking price per unit runs from about UGX 30M to UGX 225M, with a median near UGX 158M. A second Kyanja building with 12 units at UGX 1.6B states a rent figure we could not read reliably, and a 9-unit leasehold block at Ndejje Namasuba (UGX 1.75B) states no rent, so both are left out. Treat the yields as the seller's pitch. A block that claims a yield far above its neighbours needs its rent roll checked first, and a block that is priced below the others may be a sign of a short lease, an old building or unpaid arrears.

How do I work out the yield?

Gross yield is the quick screen. Net yield is the number that matters.

1. Gross yield = annual rent collected divided by the asking price. Annual rent is the monthly figure times 12.
2. Allow for empty units. Use the actual rent roll, not "fully rented". Subtract a vacancy allowance, such as one month a year per unit.
3. Subtract running costs. Water and power in common areas, security, caretaker, repairs, agent or management fee, and any rates.
4. Subtract tax. An individual landlord pays 12% of gross annual rent above UGX 2,820,000 and cannot deduct expenses, according to PwC's Uganda tax summary, last reviewed 22 October 2026, which matches the Uganda Revenue Authority's description of the 2022 rule. A company deducts at most 50% of expenses against its rent and pays 30% on the rest.
5. Divide by what you really pay. The price plus stamp duty (1.5% of the consideration on a transfer, according to the Ministry of Lands, Housing and Urban Development) plus legal and registration fees.

Here is an illustration using one of the listings above, an 8-unit Kyanja block priced at UGX 1.35B with a stated rent of UGX 10.4M a month. These are our calculations from the seller's claims, not a forecast.

Running costs would take it lower still. This is why a "10% or more" headline can become a single-digit return. Compare the result with the cost of borrowing: the Bank of Uganda's figures reported by Eagle Online put the average shilling lending rate at 18.73% in February 2026, so a block bought with a shilling loan will not pay for itself at these yields.

What should the tenant schedule show?

Ask the seller for a tenant schedule before you spend on lawyers. It is a one-page list of every unit with the following columns: unit number and size, tenant's name, lease start and end dates, monthly rent, deposit held, rent paid to date, arrears and any service fee. Cross-check it against the tenancy agreements and the bank or mobile money statements for the last 12 months.

The Landlord and Tenant Act, 2022 gives you tests to apply to the schedule:

• Section 24 limits rent in advance to three months for a tenancy of more than one month unless both sides agree otherwise. A schedule showing a year paid in advance is unusual and should be explained.
• Section 26 limits increases to 10% a year or any other percentage the Minister prescribes, unless the parties agree otherwise, with at least sixty days' notice and no increase within twelve months. Rents that jumped recently may not be valid or may cause tenants to leave.
• Section 30(2) caps a security deposit at the lesser of one month's rent or one-twelfth of a year's rent, and section 30(6) says the deposit must transfer to the new landlord. Make sure the seller hands over every deposit or reduces the price by the same amount.
• Section 25(3) requires a landlord to keep a record of all receipts for rent. Ask to see it.

More detail, including arrears and leases, is in buying a rental building: due diligence.

What legal and building checks apply to a whole building?

Everything that applies to one house applies to a block, with a bigger bill if something is wrong. Run the checks in legal checks before buying a house, and in particular:

• Title and tenure. Confirm the registered owner, plot size and any caveat. Check lease years if the title is leasehold.
• Approved plan and occupation permit. The Building Control Act, 2013, section 44, requires an occupation permit on completion, and section 44(3) makes it an offence to occupy without one. A block of 16 units with no permit has 16 households in breach.
• Structure. Multi-storey buildings need a structural design stamped by a registered engineer and a geotechnical report (section 35(3)). Ask for both. Use the inspection checklist and bring an engineer.
• Service charge and common costs. A block with shared water tanks, a generator or security should show what tenants pay. Section 46 of the Landlord and Tenant Act lets a landlord charge a service fee for extra services. For apartments sold unit by unit, see condo service charge in Uganda.
• Property rates. KCCA says the owner is liable and that rented residential property must pay, at 6% of rateable value, and that transfers cannot be registered without a certificate of no arrears.

Is a rental block a good investment?

It can be, if the numbers hold after your own check. The case for a block is that rents come from several tenants, so one empty unit does not stop the income. The case against is that you take on a management job, repairs, vacancy, tax and a large single bet on one location and one building. The yields in our listings are asking-price yields from sellers, not what a buyer earns after tax and costs.

Compare a block with other routes before you decide: a house you can live in (bungalow, maisonette or storeyed house), or a commercial building (shops and commercial buildings for sale in Kampala). If you are weighing flats you can sell one at a time, read apartments for sale in Kampala. When you have a shortlist, book an escorted site visit. We can arrange it so that the seller's tenant schedule and permits are on the table when you arrive.

Frequently asked questions

Related guides

• Buying a Rental Building: Due Diligence
• Apartments for Sale in Kampala: Live Listings
• Condo Service Charge in Uganda: How It Is Set
• Shops and Commercial Buildings for Sale in Kampala
• Bungalow vs Maisonette vs Storeyed House in Uganda
• Homes and Condominiums for Sale in Uganda