NAIROBI, Kenya- Luxury hospitality facility Glee Hotel has been placed under administration by Equity Bank after its owners allegedly defaulted on loans exceeding Sh8 billion, escalating a months-long legal battle over one of Nairobi’s premier hotels.
Equity Bank appointed Kamal Anantroy Bhatt of Anant Bhatt LLP as administrator, with effect from July 6, 2026, handing him control over the hotel’s assets, business and day-to-day operations.
Under Kenya’s insolvency laws, the powers of the company’s directors over its assets cease once an administrator is appointed.
The administration follows an alleged loan default of Sh8.267 billion, according to court documents, with the hotel property valued at approximately Sh9.5 billion.
As part of the administration process, the directors of Glee Hotel Limited have been directed to submit a Statement of Affairs within 12 days, while creditors have 30 days to lodge claims with the administrator.
The hotel is owned by businesswoman Mary Wambui Mungai, who has been battling Equity Bank in court to prevent the lender from recovering the debt through the sale of the property.
In June, the High Court granted Wambui temporary relief by suspending the planned auction of the hotel on condition that she deposited Sh100 million with Equity Bank within seven days.
The court ruled that failure to make the payment would automatically lift the temporary orders, allowing the bank to proceed with debt recovery.
Court records show Wambui had sought additional time to refinance the debt and argued that the bank should first pursue other securities and guarantor companies before moving against the hotel.
She also informed the court that she was negotiating a refinancing arrangement with another lender, but Equity Bank maintained it was entitled to choose which security to enforce.
Located along Nairobi’s Northern Bypass in Runda, Glee Hotel has become one of the city’s prominent conference and hospitality venues, hosting numerous government, parliamentary and corporate events.
Earlier this year, it was among the venues used by the National Assembly to conduct public participation sessions on the Finance Bill 2026.
The administration marks a significant development in the dispute and underscores the financial pressures facing some large-scale hospitality investments amid tighter enforcement by lenders seeking to recover non-performing loans.