The government requires all operators of short-stay accommodation units or Airbnb to be registered and issued with an operating license by the Tourism Regulatory Authority.
In recent days, the government has introduced new measures for these accommodation facilities as a way of mitigating increasing cases of murders in Airbnb’s in the country.
These measures include the government coordinating with booking platforms to restrict unregistered rentals and further institute severe penalties, including fines and revocation in cases of non-compliance.
It is important to note that the Tourism Regulatory Authority has provisions for registrations of such accommodation units with clearly defined requirements for different categories of such establishments.
“The operator with TRA licenses will benefit greatly in that the license will facilitate: Promotion and marketing, Access to Government incentives e.g. custom duty waivers, Access to training and capacity building programmes by government agencies, and Access to Government financing, Endorsement for membership to industry associations,” the authority notes on its website.
This article details the different types of accommodations that are categorized under online bookings by the authority and the cost of licensing among other requirements.
Also Read: Govt Rolls Out New Airbnb Regulations Ahead of Crackdown
Service Flats/Apartments
A service flat or apartment is described as a fully furnished apartment with a separate living area, kitchen/kitchenette, bathroom and sleeping quarters and available for short-term or long-term stay and providing guests with amenities for daily use.
The requirements for the application of a license of such an establishment include a certificate of registration or incorporation.
Additionally, the operator will be required to submit CR 12 companies and or ID copies of the directors of the companies.
The authority also requires the submission of a KRA PIN Certificate of the tourism enterprise, a CV for a manager or a Professional certificate of the person running the business.
Finally, the authority will require an entry or work permit from the directors in case of foreign ownership.
To apply, sign into the website, and fill in a provided application form upon which one is then required to pay the application fee.
After that, the application goes through a verification process and when approved, the licence is sent to the operator through their email.
Payable License Fee
The License application fee under this category is Ksh1,000. However, the operator will be required to pay an annual license fee of Ksh26,000 and a license renewal fee of Ksh26,000.
Guest Houses
For guest houses, the authority requires submission of a copy of the identity card or passport of the owner or director of the establishment for registration of a license.
Other required documents include a copy of the lease agreement or title deed of premises, a copy of the applicant’s pin number (or company pin number (where applicable) and a copy of the certificate of registration/incorporation of the company (where applicable).
In addition, the authority requires submission of a copy of the current health clearance certificate (less than three months old) and a Medical Certificate of food handlers.
Also Read: Alfred Mutua Asks Women to Invest in Airbnb Bussiness
To apply, sign into the website, and fill in a provided application form. One is then required to pay the application fee. After that, the application goes through a verification process and when approved, the license is sent to the operator through their email.
Payable License Fee
The License application fee under this category is Ksh1,000. However, the operator will be required to pay an annual license fee of Ksh11,000 and a license renewal fee of Ksh11,000.
Homestays
Homestays are described by the authority as a form of accommodation located in rural, urban or peri-urban areas in which the guest stays with the homeowner of the family unit.
The guest regularly interacts with the host, sharing common family facilities and taking part in family activities and in this way availing the guest a more intimate interactive experience of the host’s way of life.
To get a license, the operator is required to submit a copy of the identity card or passport of the owner/director, a copy of the lease agreement or title deed of premises, a copy of the applicant’s pin number (or company pin number (where applicable).
Payable License Fee
Homestays are divided into three categories: Economy, Standard and Executive.
The License application fee under Economy is Ksh500. However, the operator will be required to pay an annual license fee of Ksh1,000 and a license renewal fee of Ksh1,000.
For the Standard category, the license application fee is Ksh500. However, the operator will be required to pay an annual license fee of Ksh2,000 and a license renewal fee of Ksh2,000.
Finally, for the Executive category, the license application fee is Ksh500. However, the operator will be required to pay an annual license fee of Ksh3,000 and a license renewal fee of Ksh3,000.
Hostels
These establishments are described as an accommodation system designed to suit people on a budget.
“It is usually inexpensive, catering mainly to the youth and usually lacking in privacy and comfort with shared sleeping and bathroom quarters,” the authority indicates.
To apply for a license, the operator is required to provide a certificate of registration/incorporation, a CR 12 companies and/or ID copy of the directors, KRA PIN and a certificate of the tourism enterprise.
Also, the operator will provide a CV for manager /Professional certificate of person running the business and entry /work permit of the directors in case of foreign ownership.
To apply, sign into the website, and fill in a provided application form. One is then required to pay the application fee. After that, the application goes through a verification process and when approved, the licence is sent to the operator through their email.
Payable License Fee
The License application fee under this category is Ksh1,000. However, the operator will be required to pay an annual license fee of Ksh11,000 and a license renewal fee of Ksh11,000.
