Land (Auction and Tenders Regulations) 2001

OovaoomNT Nc:1T'tC!n No. 73 p.1.bli.
moo on 4/5/2001
THE LAND ACT

(No. 4 o, I999)
THE LAND (CONDUCT OF AUCTlONS AND TENl>EF''
REGULATIONS. 2001
(Made under ,ections 52 and 179)

J'ARTI
PRELIMINARY
T/lc:,e Rcttu1.«.tiot1!: may bf cited as the l,and (Condtl<'t ,,,,·
Atictiotl$ and ·1 enders) Kcgulations 2(101.
2. In these Regulations, unless the context otbrrwiii<::

rcqwrc~
"Act" means the Lillld Act, IQ99;
authon7,eJ officer'' has the meaning ascribed to this cxpr1:s:.-inn bv '·"·-
Act;
631
Land (Conduct of Auctions and Tender.s)
llN, No. IJ (contd.)
"Committee" metm~ the land al!()C~tiu11 committee established under

sect1011 12 uf the /\rt;
"Commissioner" means 1l1e ('om1nissioncr for Lands;
"Ministry" means the Mirnstry responsible for land;
"Minister" means the Minister rc,pnn~ihle for lm1d
PAR'r II
Gf.l'-1•:RAL
Tender and 3.-(l) Prime residential, commercial and industrial land will
aui::tion be ajlocated in a transparent manner such as open tender or auction.
(2) The local government authority shall recommend to the
Commissioner, areas of land that may be made available by tender or
auction.
Direction by 4. The Minister may, after considering the advice of the
the Minister Commissioner, by order published in the Gazette and in at least two
local daily dn:uhtliug 11t.W:<j1i\pcr;; lll Ki~wnhili and English
respectively gernxally or with r~garci to specific land, direct that
general land should be disposed ofby means of auction or process of
tender.
PARTIJI
AUCTIONS
Agent 5. The Committee shall appoint as its agent by name a

licensed land broker, real estate agent or Court Broker for each
parcel of land available for m1ction .
.Publication of 6 The Agent ~hall publish in one Swahili and one English
date of auction daily circulating news paper in the district and on public notice
boards the <;late of the auction which shall be not les:1 than twenty one
( 21) days before the l:luction a~ well 11.s conditiom ofthc nuotion.
632
Land (Conduct ofAuctions and Tenders)
G.N, No, 73 ((:onfd.J
7. The Committee may agree upon a reserved price Reserved
recommended by a qualified valuer but such reserved price shall not Pfice
officer shortly before the auction on the date of the auction.
S. F.very auction shall be conducted by t~ Agent in the Pte~ence of
ptese11ce of an authorized officer.

officer
9. The Agent sha\\ declare as winner the name of th-e highel)t

bidder if his bid is higher thafl the reserved price.
10.-(l) The winner 1.lhall immediately, on the spot, pay or PaYlllent
cause to be paid by bankers cheque to the Ministry and in the name of

1he Permanent Secretary of the Ministry through the Agent twenty
five per cent of the purchase price. The balant-e of the purchase price
~rmll h~ pl)_id to the Minisll'y thrnngh the Au:ent within sixtv (60) days
of lhe date of the auction.
(2) If the balance of the purchase price is not paid with\n 1he-
prc..~cribcd period hnlf of the amount paid by the winner slwil be
forfeited to the Govet11ment and shall not be recoverable by the
winnet.
(JJ H the balance of the purchase price is nol paid within the
presciibe<I pei.-iod <w the winner does not pay twenty five pet <·.ent o(
the purchase price on the date of the auction the auction will be
repeated on ~ubsequent occasion or occasions until a winner is found.
(4) The agent shall send a report to the respective local
gover11ment authority of to the Ministry as the case may be, in respect
to the winner of the auction and the purchase price oJ that land.
l l, If the reserved price is n◊t reached, the Agent shall Reserved price
not reeched
Jecb.r<"- "" withri11t di&closing tho amount and the auction will be
repeated on $1lbsequcn1 o-:ta:-ion or occasions untlt a winn.er is found.
] 2, Any dispute arising out of the conduct of the auction shall Arbittation
oe referred to th~ D'1>11 kt Lind <1nd Hou;iing Tribunal.

633
Land (Conduct qfAuctions and Tenders)
G.N. No. 1'> fronraJ
PARTIV
TENDERS
CnJli"6 fot 13. The Cott11nittt:c ~httll .:;iu!I fot toodon; by publio notioo ,:it
Ten.d,m
the District Hcadquaners and where advisable iri Qne loca\ Swai'liii
and one English daily circulating newsp.ipcr i» the district at Jeas:t
two mcmms Oelbre {ne aate. ,;i.f opcntng or wnui;n;,
T=of 14. The notice calling for te:ndets shall be brief and explicit
T1mder and oni;e tend.em have beott called for, no variations shall be made to
the tenns, but if clianges are essential, the whole process shnli
commence afresh.
15, Every tender, which should be in a soaled enveiope,
received either by post or by h/1.nd must be placed, unopened, in a
locked box provided fot \be purpose and where tenders an: received
by l'ln ofG;,,e,· 1.•ny,,:,o.,f•f~ t(I tlf'.\ll with them hr. 11.htmkl initil11 llnd thtm
stamp the envelopes with the Q(ficia\ da¼l stamp immediately they are
r~ceived by him before p);1cio,g them in the box,
Ojl{)ning of 16. On the date lllld hour at which a tender closes, and in no
'fotld~rs circumstances before, 1hu box nu1~t be dewed and the tenders opened
by the authorized omi.:er in 'the presence of at \east one other memUl';:l
(If the Committee and notkes may provide that the tenders shall be
opened at a meeting llfth.e C<:m1n"\\Uee itJ \he pres;;nce oftendorcrs.
l,bt 1·1. T0r,Je,rs .ihall be 1111mhrred crmnecutlve!y (the last one
"t,dng endorsod ''and tas:t") tmd initialed by the authorized officer and
the witnessing member 1:md a fo:r {"m triplicate) of 1he tenders she.wing
the number of the tcrnk1 mid tl1c nnmc of th~ tond~ror ohc-uld be
prepared and signed by both pet~O\ll>, and the ofiginat shall be
retained by the- authorized officer for eventual incorporation in fue
minutes, the duplicate ia; to he retamed oy \he witncssin,g 11wmbc1 am1
the tripi\ca\e ts. \() \>t for'>\l;,yQe~ \\!> t'nc accl)v.'3\\ng (;\ffv.et ij{ \ ~
&strict or urban authority or the Ministry as the case may be, together
with the original tenden,, in~ sealed enve\ope 01" a tocked box.
634
Land (Conduct ofAuctions and Tenders)
G.N. No. 73 (contd.)
18. The Committee shall meet within two days of the date of Meeting of the
npe,ning nf ti,nder• to •efoct the winner and all tenders on the liet shall Cmnmi,me
be considered by the Committee, and the Committee need not acci:pt

the highesl tender if it is below the reserved price or if it is conaidet'ed
not to be in thc public interi;:sl w uu su; <.!~tails of lhe teasons for not
accepting the highest tender shall be recorded in ·the minutes.
l':I. Minutes of meetings shall be recorded by the Secretary Minutes
and signed by the Chairman after confirmation by the Committee.
Within seven days of the meeting of the Committee the Secretary

shall notify the successful tenderer and shall notify each unsuccessful
f P1ldetn nf fhP. nnn-nr.M,ptance of his tender and details of the
successful tender.
21. The ;;1,1cves,ful tendl)cre-.r ~all pay or cause to be paid by Payment
bankers cheque to the Ministry and in the name of the Permanent

Secretary of the Ministry through the authorized officer or the
C:ommissioner, withe case nlily be, ULC whuk amuunt ufthc PllfCh"-'c
price within thirty days of the date Qf the Secretazy's lett<:r of
notification.
Dares Salaam, G.CJ-ffiYO,

3,d May, 200 I Minister for Lqnds and
Human Settlement Development
635

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OovaoomNT Nc:1T'tC!n No. 73 p.1.bli.

THE LAND ACT

(Made under ,ections 52 and 179)

2. In these Regulations, unless the context otbrrwiii<::

"Committee" metm~ the land al!()C~tiu11 committee established under

Direction by 4. The Minister may, after considering the advice of the

Agent 5. The Committee shall appoint as its agent by name a

officer shortly before the auction on the date of the auction.

S. F.very auction shall be conducted by t~ Agent in the Pte~ence of

ptese11ce of an authorized officer.

9. The Agent sha\\ declare as winner the name of th-e highel)t

10.-(l) The winner 1.lhall immediately, on the spot, pay or PaYlllent

cause to be paid by bankers cheque to the Ministry and in the name of

oe referred to th~ D'1>11 kt Lind <1nd Hou;iing Tribunal.

be considered by the Committee, and the Committee need not acci:pt

l':I. Minutes of meetings shall be recorded by the Secretary Minutes

and signed by the Chairman after confirmation by the Committee.

Within seven days of the meeting of the Committee the Secretary

21. The ;;1,1cves,ful tendl)cre-.r ~all pay or cause to be paid by Payment

bankers cheque to the Ministry and in the name of the Permanent

Dares Salaam, G.CJ-ffiYO,

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