The Addis Ababa City Administration has introduced a comprehensive regulatory framework to overhaul how government institutions lease, manage, and procure office space across the capital.
Outlined in Directive No. 192/2026 on Public Buildings Development, Standards, and Administration by the Public Property Administration Authority, the new rules aim to curb arbitrary pricing, enforce public accountability, and establish uniform building standards.
Under the new directive, the Authority is legally mandated to conduct annual rental market studies. These assessments will evaluate current market rates, government financial capacities, and occupancy data to guide all future office procurements.
Any lease adjustments will now follow a formal evaluation process. Landlords seeking rate increases must submit formal requests to the tenant institution. These are reviewed against local market conditions before recommendations are forwarded to the Finance Bureau. Furthermore, institutions wishing to renew existing contracts without altering rent or space must notify the Authority and the Finance Bureau in writing at least three months in advance.
The directive sets strict baseline requirements for all properties leased by the government. Properties must have approved architectural designs, completed construction, and valid holding licenses.
Additionally, buildings must provide reliable Information and Communication Technology (ICT) infrastructure, continuous electricity and water supply, and backup generators. Other requirements include adequate parking, access to public transportation, clearly marked emergency exits, and accessibility features such as ramps and adapted restrooms for individuals with disabilities.
Buildings permanently purchased by government institutions must meet these baseline standards while also providing quality construction materials, outdoor space, and direct connectivity to a main road.
The directive clearly outlines the responsibilities of both landlords and tenant institutions to minimize disputes regarding building maintenance and usage.
Government institutions are required to protect the rented properties, accurately report their space needs, and cover the costs of interior partitioning modifications subject to the landlord’s consent.
On the other hand, landlords are responsible for repairing structural damages and building defects that affect the tenant’s property. They are also obligated to cooperate with space audits, and they cannot conduct routine building inspections more than twice within a six-month period.
