The islands of Zanzibar, a semi-autonomous region of Tanzania, possess a unique and highly structured system of land ownership that fundamentally differs from the freehold model common in many Western countries. This structure is rooted in the island’s post-revolution history and is enshrined in the Land Tenure Act of 1992.1
Understanding this foundation is the first critical step for any investor or prospective buyer in the islands.
1. The Core Principle: All Land is Public Land2
The foundational tenet of Zanzibar’s land law is simple: all land, whether occupied or unoccupied, is Public Land.3
This principle means that no individual—even a Zanzibari citizen—holds absolute, perpetual ownership (Freehold) of the soil itself.4 Instead, the ultimate title to all land is vested in the President of Zanzibar on behalf of the people of the islands.5
This central, state-controlled ownership system dictates how all subsequent rights, interests, and transfers are structured.
2. The Citizen’s Right: The Right of Occupancy
For Zanzibari citizens, the primary form of land holding is the Right of Occupancy.6
- Definition: This is the exclusive right to the use and occupation of a parcel of land, granted by the relevant Minister on behalf of the President.
- Nature: It is the closest equivalent to freehold, but it is technically a perpetual right of use subject to the conditions of the Land Tenure Act, such as meeting development requirements and paying applicable fees.
- Exclusivity: This specific Right of Occupancy cannot be granted to non-citizens, including citizens of Mainland Tanzania.7
3. The Investor’s Gateway: The Leasehold (Derivative Right)8
The restriction on the Right of Occupancy does not mean foreign investment is prohibited; rather, it is channeled through a secure legal mechanism known as the Leasehold or Derivative Right.9
This is the legally compliant pathway for non-citizens:
- Maximum Term: Foreign investors are granted a long-term government lease for a maximum period of 99 years.10 This is typically structured as an initial 33-year term, renewable for two subsequent 33-year terms.11
- Security: This long-term lease offers comprehensive security of tenure.12 The leaseholder has the right to possess, use, develop, mortgage, and sell the remaining term of the lease to another party, subject to official government approval.13
- Investment Focus: For large-scale projects, the acquisition of a leasehold must be facilitated through the Zanzibar Investment Promotion Authority (ZIPA), which issues an Investment Certificate and ensures the land will be used for an approved economic purpose.14
4. The Modern Solution: The Condominium Act of 201015
To further streamline real estate purchases for individual foreign buyers (e.g., retirees or second-home owners), the government introduced the Condominium Act (No. 10 of 2010).16
This Act allows foreigners to purchase an individual Unit Title (an apartment or villa) within a government-approved residential development.17 The title grants the buyer ownership of the unit itself, along with a secure, long-term leasehold interest in the land beneath the complex for the full 99-year term.
This mechanism has become the most popular and straightforward way for foreigners to acquire secure, transferable property interests in Zanzibar, often serving as a pathway to residency status for investments over a certain threshold.
Summary for Prospective Investors
The foundation of land ownership in Zanzibar operates on a dual system: Public Land vesting in the President, with land use delegated through the Right of Occupancy for citizens and the Long-Term Leasehold for foreign investors.18 This framework balances national sovereignty over the land with a clear, enforceable legal route for international investment and property acquisition.
