By Cybernewsug | News Desk
Attorney General Sam Mayanja has supported President Yoweri Museveni’s proposal to transform Kampala’s City Square into a modern commercial complex, dismissing claims by businessman Hassan Basajjabalaba over the prime property.
KAMPALA — Attorney General Sam Mayanja has backed President Yoweri Museveni’s proposal to redevelop Kampala’s City Square into a modern commercial complex featuring a hotel and shopping mall.
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Mayanja also challenged businessman Hassan Basajjabalaba and other opponents of the proposed redevelopment to stop pursuing arguments he considers no longer productive, using the expression “flogging a dead horse” to describe the continued objections.
The debate over the future of City Square, also known as Constitution Square, has attracted national attention, with questions raised about competing interests in the land, the preservation of public open spaces and the proposed commercial development.
President Museveni directed the Minister for Kampala Capital City and Metropolitan Affairs, Minsa Kabanda, on August 30, 2026, to examine a proposal for a modern, environmentally friendly commercial complex incorporating a hotel, shopping mall and solar power. The minister was instructed to consult Kampala Capital City Authority (KCCA) and report back to the President.
#Dispute over City Square
Basajjabalaba has previously told Parliament that his company, HABA Group, won a tender in 2001 to redevelop the 2.5-acre property and paid the then Kampala City Council sh1.6b as a premium.
He told Parliament’s Committee on Commissions, Statutory Authorities and State Enterprises in September that the arrangement provided for a five-year lease from 2002, with a further 49-year sublease. He has maintained that his company has a claim arising from the earlier transaction and is pursuing compensation from the Government following the cancellation of the agreement.
The competing claims have raised questions about the legal status of the property and whether a new redevelopment proposal can proceed while the earlier dispute remains unresolved.
Mayanja’s reported position adds to the debate over how the Government should handle the competing interests surrounding the site.
#Questions over the redevelopment
The proposal has also attracted opposition from some city leaders and other stakeholders who argue that City Square should remain a public open space.
Kampala Lord Mayor Ronald Balimwezo has opposed the proposed commercial development, citing the square’s environmental, historical and public importance. Concerns have also been raised about the need to protect green spaces in the city centre, particularly as Kampala faces increasing pressure from urban development.
The redevelopment proposal is still subject to government review. In September, State Minister for Trade, Industry and Cooperatives David Bahati told Parliament that the relevant officials were studying the proposal and that no final decision had been made at that stage.
The ministerial review is expected to consider the legal, planning and administrative implications of the proposed project before recommendations are submitted to the President.
#Awaiting the next steps
The future of City Square therefore remains a matter of public interest, with the Government expected to weigh the proposed commercial investment against concerns about the site’s existing status and public use.
While Mayanja has reportedly backed Museveni’s proposal, that support should not be interpreted as confirmation that the redevelopment has received final approval.
The outcome will depend on the Government’s review and the resolution of the questions surrounding the property, including the competing claims associated with its earlier redevelopment arrangements.
For now, the debate over City Square continues to highlight the challenge of balancing commercial development with the
protection of public spaces in Kampala.
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