Abstract: The purpose of this paper was to examine the investment of land compensation and the sustainability of livelihoods amongst pastoralist communities in Ngurunga, Kajiado East Constituency, Kajiado County, Kenya. The specific objectives that the study sought to fulfil were; to investigate the nature of land compensation, to find out priority spending after land compensation of pastoralist communities and to provide recommendations towards the sustainability livelihoods after sale of land of pastoralist communities Ngurunga, Kajiado East Constituency, Kajiado County, Kenya. The study used the Cultural Theory of Poverty postulated by Oscar Lewis and Oliver La Farge (1959). It presupposes that people who find themselves in poverty are in that state based on their culture and values that they socially acquire. The research approach was qualitative with the research design being ethnographic. The target population was those families that sold land in Ngurunga, the investors and the administrators in the area. The study findings revealed that there was insignificant investment of compensation in education, health care, and income generating activities and alternative land and housing and thus the lack of sustainability of the livelihoods of the pastoralist community in Ngurunga, Kajiado East constituency, Kajiado County, Kenya. The study findings also revealed that the land sellers prioritized their expenditure on leisure activities and hedonistic spending. These include purchasing of posh cars, engaging in alcoholism, travelling to tourist destinations such as Mombasa, and marrying additional wives. The study also observed that the engaged in unsustainable of money to friends and family. The study therefore proposed that the locals be sensitized on these areas. The study also suggested a study on the role of the youth in the decision-making processes on investment of compensation in enhancing sustainability of livelihoods of the pastoralist communities in Ngurunga, Kajiado East Constituency, Kajiado County, Kenya. Key Words: Land compensation, indigenous communities, Education, Income generating activity, Health-care, Alternative land purchase and housing.