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Construction Statistics from Approved Building Permits: First Quarter 2018 (Preliminary Results)

Reference Number: 2018-158
Release Date: 06 June 2018
TABLE A  Comparative Construction Statistics
First Quarter, 2018 and 2017
(Details may not add-up to total due to rounding)
Type of Construction First Quarter 2018
(January - March)
First Quarter 2017
(January - March
TOTAL    
Number 36,002 35,101
Floor Area (sq.m.) 8,569,328 7,675,349
Value (PHP '000) 101,729,310 76,605,109
Residential    
Number 25,362 25,670
Floor Area (sq.m.) 5,081,222 3,932,765
Value (PHP '000) 64,438,566 37,776,086
Non-Residential    
Number 5,587 4,997
Floor Area (sq.m.) 3,376,501 3,590,390
Value (PHP '000) 31,098,918 32,854,648
Addition    
Number 1,293 1,379
Floor Area (sq.m.) 111,605 152,194
Value (PHP '000) 1,044,518 1,050,311
Alteration and Repair    
Number 3,760 3,055
Value (PHP '000) 5,147,308 4,924,064

 

Number of constructions up by 2.6 percent during the first quarter of 2018

  1. Total number of constructions in the first quarter of 2018 reached 36,002, according to the preliminary results of construction statistics from approved building permits. This reflects an increase of 2.6 percent from the 35,101 constructions recorded during the same quarter in 2017.
  1. The number of residential building constructions declined by 1.2 percent from 25,670 constructions reported during the same period of 2017. This was due to the decline in single-type houses (1.0%) and apartment/accessoria (4.9%).
  1. Meanwhile, non-residential constructions posted 11.8 percent increase from its previous year’s level of 4,997. The growth was brought about by the increase in the number of constructions of the following: commercial buildings with 3,579 (20.2%), and institutional buildings, 1,081 (13.3%).
  1. Additions to existing structures declined to 1,293 projects from 1,379 during the same period of  2017 or a decrease of 6.2 percent. Likewise, combined number of alterations and repairs of existing structures increased by 23.1 percent from 3,055 projects recorded in the previous year.

Figure 1 compares the number of constructions by type for the first quarters of 2018 and 2017

  1. The top five regions, in terms of number of constructions, collectively comprised 60.5 percent of the total constructions. CALABARZON led these regions with a total of 8,199 (22.8%) constructions. Region VII (Central Visayas) ranked second with 4,333 (12.0%) constructions. Other regions in the top five were:
  • Central Luzon with 3,589 (10.0%) constructions
  • National Capital Region (NCR) with 2,890 (8.0%) constructions
  • Ilocos Region with 2,762 (7.7%) constructions

Figure 2 shows the distribution of constructions by region.

  1. At the provincial level, the top ten provinces in terms of the number of construction projects accounted for 43.0 percent of the total projects. Cavite topped the list of provinces with 3,934 (10.9%) constructions, followed by Cebu and Batangas with respective shares of 1,844 (5.1%) and 1,546(4.3%) constructions. Completing the top ten provinces with the most number of constructions were:
  • Bohol with 1,463 (4.1%) constructions
  • Laguna with 1,429 (4.0%) constructions
  • Fourth District of NCR with 1,364 (3.8%) constructions
  • Iloilo with 1,032 (2.9%) constructions
  • Negros Oriental with 967 (2.7%) constructions
  • Negros Occidental with 957 (2.7%) constructions
  • Pampanga with 954 (2.6%) constructions
  1. Total number of constructions in Bohol went up by 35.0 percent from 1,084 recorded during the same period a year ago.

Total value of constructions increased by 32.8 percent

  1. Total value of constructions, estimated at PHP101.7 billion, went up by 32.8 percent compared with the registered amount of PHP76.6 billion in the first quarter of 2017.
  1. Residential constructions, valued at PHP64.4 billion, increased by 70.6 percent from the PHP37.8 billion recorded during the same quarter of 2017. This was attributed to the increase in construction values for all residential type of constructions led by residential condominiums (252.6%).
  1. Construction value of non-residential buildings, amounting to PHP31.1 billion, declined by 5.3 percent compared with the PHP32.8 billion construction value recorded during the first quarter of previous year. This was due to the decline in the construction values of industrial (23.2%), commercial (15.4%), agricultural (11.9%) and other non-residential (11.1%) buildings.
  1. Similarly, construction values for addition to existing structures at PHP1.0 billion decreased by 0.6 percent from PHP1.1 billion posted in the same period of 2017. Combined construction values of alteration and repair of existing structures, estimated at PHP5.1 billion, increased by 4.5 percent from the registered value of PHP4.9 billion in the same quarter of 2017.

Figure 3 compares the value of constructions by type for the first quarters of 2018 and 2017.

  1. In terms of value of construction, the combined shares of the top five regions, amounting to PHP77.1 billion, comprised 75.7 percent of the total value of construction. NCR, ranking fourth in the number of construction projects, occupied the top slot in terms of value of construction which was estimated at PHP36.4 billion or 35.8 percent of the total value of construction. Other regions in the top five list for the first quarter of 2018 were:
  • CALABARZON, PHP14.9 billion (14.7%)
  • Central Visayas, PHP13.1billion (12.9%)
  • Central Luzon, PHP8.1 billion (7.9%)
  • Davao Region, PHP4.5 billion (4.4%)

Average cost per square meter of residential-type construction increases by 32.0 percent

  1. Average cost per square meter of residential constructions for the first quarter of 2018 was estimated at PHP12,682, up by 32.0 percent from the previous year’s average cost of PHP9,605. This was brought about by the two-digit increases in the average cost per square meter of residential condominiums (32.6%), apartment/accessoria type (17.8%) and other residential (16.7%).
  1. Single-type houses numbering to 21,776 projects or 85.9 percent of the total residential constructions dominated all types. The value of construction for this type of residential construction amounted to PHP22.2 billion or an average cost per square meter of PHP9,475.
  1. Apartment/accessoria-type units had 3,109 projects or 12.3 percent of the total residential constructions. This type of construction, valued at PHP7.4 billion, had a total floor area of 846.01 thousand square meters or an average cost per square meter of PHP8,473.
  1. Duplex/quadruplex-type dwellings, which came in next to apartment/accessoria-type, had 379 projects or 1.5 percent of the total residential constructions. For this type of residential construction, total value amounted to PHP0.6 billion and total floor area was 63.2 thousand square meters or an average cost per square meter of PHP10,126.
  1. Residential condominiums, numbering to only 44 projects, made up of only 0.2 percent of the total. Total value of construction for this type amounted to PHP34.1 billion or an average cost of PHP18,776 per square meter.

Figure 4 displays the number and value of residential constructions by type for the first quarter of 2018.

Average cost per square meter of non-residential constructions is PHP9,210

  1. Average cost per square meter of non-residential construction was recorded at PHP9,210. This figure was 14.3 percent lower than the PHP10,752 recorded value during the same period of 2017. The decline was attributed to the drop in the average cost per square meter of industrial (15.1%) and commercial (14.0%) buildings. On the other hand, an increase in the average cost per square meter was noted for institutional buildings (16.8 %) and agricultural building (6.5%).
  1. Among non-residential constructions, commercial-type posted the highest number of constructions at 3,579 or 64.1 percent of the total non-residential constructions. Construction value for this type was estimated at PHP13.7 billion with a total floor area of 1.6 million square meters or an average cost per square meter of PHP8,788.
  1. Institutional-type buildings with 1,081 constructions or 19.3 percent of the total were far next to commercial-type building. Institutional-type buildings, valued at PHP10.7 billion, had a total floor area of 764.6 thousand square meters which made the average cost per square meterat PHP13,970.
  1. Industrial-type buildings came third with 548 (9.8%) units. Total construction value for this type was estimated at PHP5.4 billion with a total floor area of 834.6 thousand square meters or an average cost per square meter of PHP6,530.
  1. Agricultural-type buildings recorded a total of 261 constructions or 4.7 percent of the total non-residential constructions. Construction value for this type amounted to PHP1.0 billion with a total floor area of 214.5 thousand square meters or an average cost per square meter of PHP4,845.

Figure 5 shows the number and value of non-residential constructions by type for the first quarter of 2018.

 

 

 

ROMEO S. RECIDE
Assistant Secretary
Deputy National Statistician
Sectoral Statistics Office

 

 


TECHNICAL NOTES

CONSTRUCTION STATISTICS FROM APPROVED BUILDING PERMITS

 

Introduction

This Special Release presents the preliminary data on construction statistics from approved building permits for the first quarter of 2018, generated 60 calendar days after the reference quarter.

For this publication, data for the provinces of Lanao del Sur, Sulu and Tawi-tawi are not included in the tabulation as these provinces were not able to submit approved building permits before the generation of preliminary tables. However, if there are any submissions after the preliminary tables, these are to be included in the annual tabulation.

Data are presented at the provincial level by type of construction in Tables 1 to 7.

Scope and Coverage

Construction statistics from approved building permits relate to administrative-based data on new constructions and additions, alterations and repairs of existing residential and non-residential buildings and other structures proposed to be constructed in all cities and municipalities of the country in a specific period.

Sources of Information

Construction statistics are compiled by the Philippine Statistics Authority (PSA) from the copies of original application forms of approved building permits as well as from the demolition and fencing permits collected every month by PSA field personnel from the Offices of Local Building Officials (LBOs) nationwide.

Limitations

  1. Data on building constructions refer to those approved applications during the reference period and not to construction work completed during the reference period.
  1. The completeness of the number of building permits collected relies on the approval of applications filed with the LBOs. Hence, private building constructions without approved building permits are excluded in the tabulation of data.
  1. For this quarter, an average of 492 out of 1,634 cities/municipalities in the country reported that there were no approved building permits for the quarter.

 

 Geographic Classification

Building constructions are classified and presented by geographic area using the Philippine Standard Geographic Classification (PSGC) as of December 2016. The PSGC contains the latest updates on the official number of regions, provinces, cities, municipalities and barangays in the Philippines.

Industry Classification

Construction statistics utilizes the 2009 Philippine Standard Industrial Classification (PSIC) to identify the industrial classification of the structure proposed for construction through its use or character of occupancy.

Collection

The number of building permit forms accomplished by the applicant comes in five (5) copies. The “NSO copy” of the approved building permit is made available within the first five (5) working days after each reference month. Collections of these documents from the LBO in city/municipality are undertaken by PSA field personnel within this period.

Collected documents for each month are properly checked as to its completeness by verifying the beginning and ending numbers indicated in the permit numbers. Missing numbers are indicated, with corresponding reasons, in the transmittal. In cases where there is no construction in a given month in a municipality, a certification that there was no approved building permit during the reference period is provided by the LBO to the PSA field staff.

Data Processing

Data processing of approved building permits is done both manually and mechanically. Copies of documents collected from the offices of LBOs are properly controlled, sorted, edited and coded, folioed and encoded in the PSA provincial offices. During machine validation, inconsistent and invalid entries, which are flagged in an error listing, are corrected in the data file. This process is repeated until there are no more inconsistent or erroneous entries found in the error listing. The data files are then forwarded to PSA Central Office for validation, consolidation and generation of preliminary tables. Data files received after the cut-off dates of submission set for each quarter are included in the generation of annual tables.

Preliminary results are based from data files that have undergone data processing in the provincial offices and have been validated at the Central Office. The preliminary tables are revised to include building permit documents received after the cut-off period in the annual tabulation. 

Statistics Generated

Construction statistics generated from approved building permits provide monthly administrative-based data on building construction at the municipality level nationwide. Statistics generated are the following:

  • number
  • floor area
  • type of construction
  • value of construction

Statistical Tables

The statistical tables are presented at the regional and provincial levels by type of construction and by period according to form of ownership. 

Unpublished Data

Aside from the preliminary tables posted in the PSA website, annual, quarterly and monthly statistical tables at the municipality level by type of construction and by form of ownership are available at the Industry Statistics Division of the PSA.

Other special tabulations may also be made available upon request, addressed to the National Statistician, Philippine Statistics Authority, 2nd  Floor TAM Building, East Avenue, Quezon City.

Dissemination

Preliminary and final results of construction statistics generated from approved building permits are made public in the form of Quarterly Special Releases posted in the PSA website (www.psa.gov.ph) 65 calendar days after the reference quarter and Annual Special Release, eight months after the reference year, respectively. The Quarterly Special Releases are reports containing the preliminary results of construction statistics generated 60 days after the reference quarter while the Annual Special Release is a consolidated report of the quarterly preliminary data incorporating documents which are submitted after the cut-off dates for each quarter.

Definition of Terms (Adopted from the Revised and Updated IRR of the National Building Code)

Building permit is a written authorization granted by the LBO to an applicant allowing him to proceed with the construction of a specific project after plans, specifications and other pertinent documents have been found to be in conformity with the National Building Code (PD 1096).

Building refers to any independent, free-standing structure comprised of one or more rooms or other spaces, covered by a roof and enclosed with external walls or dividing walls, which extend from the foundation to the roof.

Construction refers to all on-site work done from site preparation, excavation, foundation, assembly of all the components and installation of utilities, machineries and equipment of buildings/structures.

Residential building is a building for which its major parts or more than half of its gross floor area is built for dwelling purposes. This type of building can be of the single type, duplex, an apartment and/or accessoria and residential condominium.

Single house is a complete structure intended for a single family or household, i.e. bungalow, 2-storey house, nipa hut.

Duplex house is a structure intended for two households, with complete living facilities for each; it is a single structure divided into two dwelling units by a wall extending from the floor to the ceiling.

Apartment is a structure, usually of two storeys, made up of independent living quarters, with independent entrances from internal walls and courts.

Accesoria is a one or two-floor structure divided into several dwelling units, each dwelling unit having its own separate entrance from the outside.

Residential condominium is a structure, usually of several storeys, consisting of multiple dwelling units.

Other residential construction consists of school or company staff houses, living quarters for drivers and maids, and guardhouses.

Non-residential building includes commercial, industrial, agricultural and institutional buildings.

Commercial buildings refer to office buildings and all buildings which are intended for use primarily in wholesale, retail and service trades; i.e. stores, hotels, restaurants, banks, disco houses, etc.

Industrial buildings are all buildings used to house the production, assembly and warehousing activities of industrial establishments; i.e. factories, plants, mills, repair shops, machine shops, printing press, storage plant, electric generating plants.

Institutional buildings are buildings which primarily engaged in providing educational instructions and hospital/health care; ports, airports and other government buildings; i.e. school, museums, libraries, sanitaria, churches, hospitals.

Agricultural buildings are buildings used to house livestock, plants and agricultural products such as barn, poultry house, piggeries, stables, greenhouses and grain mill.

Other non-building constructions include cemetery structures, street furniture, waiting sheds, communication towers, etc.

Addition refers to any new construction which increases the height or area of an existing building/structure.

Repair is a remedial work done on any damaged or deteriorated portion/s of a building/structure to restore its original condition.

Renovation is any physical change made on structures to increase the value, quality and to improve the aesthetic.

Alteration is a construction in a building/structure involving changes in the materials used, partitioning and location/size of openings, structural parts, existing utilities and equipment but does not increase the overall area thereof.

Conversion is a change in the use or occupancy of structure or any portion thereof, which has different requirements.

Demolitions refer to the systematic dismantling or destruction of a building/structure, in whole or in part.

Street furniture are street structures consisting of monuments, waiting sheds, benches, plant boxes, lampposts, electric poles and telephone poles.

Floor area of building refers to the sum of the area of each floor of the building measured to the outer surface of the outer walls including the area of lobbies, cellars, elevator shafts and all communal spaces in multi-dwellings. Areas of balconies are excluded.

Total value of construction refers to the sum of the cost of building, electrical, mechanical, plumbing, and others. The value is derived from the approved building permit and represents the estimated value of the building or structure when completed.