Number of approved building permits decreases for all types of building construction
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Total number of building construction nationwide reached 20,737 during the fourth quarter of 2007. This number is lower by 14.8 percent compared with 24,330 building permit applications recorded during the same quarter of the previous year.
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Residential building construction with a total of 14,441 approved building permits went down by 10.3 percent from 16,096 recorded during the same quarter of 2006. Likewise, combined approved building permits for additions, alterations and repairs decreased slightly by 0.3 percent to 3,842 from 3,854.
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Non-residential building construction registered a significant drop of 44.0 percent. This type of building construction had a total of 2,454 approved building permits compared with 4,380 reported during the same quarter of the previous year. Figure 1 compares the number of approved building permits by type of building for the fourth quarters of 2007 and 2006.
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Across the country, CALABARZON recorded the highest number of approved building permits with 4,466 applications or 21.5 percent of the total. However, this number is 28.3 percent lower compared with 6,230 applications reported during the fourth quarter of the previous year. Central Visayas followed closely with 13.5 percent of the total or 2,805 applications. This figure is higher by 2.1 percent compared with 2,747 applications reported during the same quarter of the previous year.
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Three (3) provinces registered approved building permits exceeding more than a thousand mark. These were Cebu (1,707), Cavite (1,403) and Laguna (1,316). Figure 2 displays the regional distribution of approved building permit applications for the fourth quarter of 2007.
Total value of construction amounted to P26.3 billion
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Aggregate value of construction during the fourth quarter of 2007 amounting to P26.3 billion went up slightly by 0.5 percent from P26.2 billion recorded during the same period of 2006.
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Residential building construction was valued at P12.4 billion, lower by 1.6 percent from P12.6 billion recorded during the same period of 2006.
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Non-residential building construction, amounting to P11.0 billion, was also lower by 4.3 percent from P11.5 billion recorded during the same quarter of the previous year.
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In contrast, combined value for additions, alterations and repairs, estimated at P2.9 billion, was significantly higher by 41.0 percent from P2.0 billion registered during the same quarter of the previous year. Figure 3 compares the aggregate value of construction by type of building for the fourth quarters of 2006 and 2007.
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At the regional level, value of construction in the National Capital Region (NCR) consistently remained highest at P10.3 billion, accounting for 39.3 percent share of the total value. CALABARZON and Central Visayas followed a far second and third with shares of 19.1 percent (P5.0 billion) and 9.5 percent (P2.5 billion), respectively.
Average cost per square meter of residential building construction is P6,741
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Total value of construction for residential buildings reached P12.4 billion with a total floor area of 1.8 million square meters, translating to an average cost of P6,741 per square meter. This figure is lower by 1.4 percent compared with the average cost of P6,837 per square meter during the same quarter of the previous year.
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Single type residential units topped all kinds of residential building construction. This type of construction, with 13,265 approved building permits, had a total floor area of 1.5 million square meters, and an aggregate value of P9.9 billion or an average cost of P6,510 per square meter.
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Approved building permits for apartment/accessoria ranked a far second with 653 applications representing 4.5 percent of total residential construction. It had a total floor area of 194.4 thousand square meters and an estimated construction value of P1.6 billion or an average cost of P8,219 per square meter.
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Applications for combined residential condominium units and others recorded the least among the residential type of building construction, with 153 applications or 1.1 percent. This type of residential building construction had a total floor area of 99.3 thousand square meters, valued at P725.4 million or an average cost of P7,305 per square meter. Figure 4 shows the comparison of the number and value by type of residential building construction during the fourth quarters of 2007.
Average cost per square meter of non-residential building construction is P7,648
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Non-residential building construction was valued at P11.0 billion pesos during the fourth quarter of 2007 with a total floor area of 1.4 million square meters, translating to an average cost of P7,648 per square meter.
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Commercial type of building construction units comprised more than half or 61.3 percent of non-residential building construction with 1,504 applications. Value of construction for this type was P7.5 billion and with a total floor area of 974.8 thousand square meters or an average cost of P7,691 per square meter.
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Institutional building construction came next with 371 approved building permit applications (15.1%), total floor area of 276.8 thousand square meters and construction value of P2.2 billion or an average cost of P7,813 per square meter.
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Agricultural type of building had the least number of approved building permits at 86 or 3.5 percent of the total. Value of construction for this type reached P0.1 billion with a total floor area of 35.8 thousand square meters or an average cost of P3,050 per square meter. Figure 5 shows the number and value by type of non-residential building construction during the fourth quarter of 2007.
TECHNICAL NOTES
Scope and Coverage
Private construction statistics from approved building permits relate to data on new constructions and additions, alterations and repairs of existing residential and non-residential buildings and other structures undertaken in all regions/provinces of the country.
For this publication, data for the provinces of Ifugao, Zamboanga Sibugay, Cotabato City, Basilan (excluding Isabela City), Lanao del Sur, Shariff Kabunsuan, Maguindanao (excluding Cotabato City), Sulu and Tawi-Tawi are not included in the tabulation as the documents were not received during the deadline. However, if any, these are to be included in the annual tabulation.
Source of Information
Data are taken from the original application forms of approved building permits collected by NSO field personnel from Local Building Officials nationwide.
Limitations:
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Data on private building constructions refer to those proposed to be constructed during the reference period and not to construction work completed during the reference period.
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The completeness of the number of building permits collected relies on the approval of applications filed with the Office of Local Building Officials (LBOs). Hence, private building constructions without approved building permits are excluded in the tabulation of data
Geographic Classification
Private building constructions are classified and presented by geographic area using the Philippine Standard Geographic Classification (PSGC). The PSGC contains the latest updates on the official number of regions, provinces, cities, municipalities and barangays in the Philippines. It consists of 17 administrative regions as approved under Executive Order No. 36 dated 19 September 2001 (Providing for the Reorganization of the Administrative Regions in Mindanao) and Executive Order No. 103 dated 17 May 2002 (Dividing Region IV into Region IV-A and Region IV-B, transferring the province of Aurora to Region III).
The geographic codes are in accordance with NSCB Resolution No. 3, Series of 2005 that approved the PSGC.
Industry Classification
Private building construction statistics utilizes the amended 1994 Philippine Standard Industrial Classification (PSIC) to classify the main activity through the use or type of occupancy of the building.
Definition of Terms:
Building Permit - A written authorization granted by the Local Building Official (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 - 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.
Residential Building - 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 - A complete structure intended for a single family or household, i.e. bungalow, 2-storey house, nipa hut.
Duplex - 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 - A structure, usually of two storeys, made up of independent living quarters, with independent entrances from internal walls and courts.
Accesoria - A one or two-floor structure divided into several dwelling units, each dwelling unit having its own separate entrance from the outside.
Residential Condominium - A structure, usually of several storeys, consisting of multiple dwelling units.
Other residential constructions - Consist of school or company staff houses, living quarters for drivers and maids and guardhouses.
Non-Residential Building - This type includes commercial, industrial, agricultural and institutional buildings.
Additions/Alterations and Repairs - Construction works by which the utility of building or structure is raised or at least renewed or which materially extends the normal life of the building or structure.
Demolitions - The systematic dismantling or destruction of a building/structure or in part.
Street Furniture - These are street structures consisting of monuments, waiting sheds, benches, plant boxes, lampposts, electric poles and telephone poles.
Floor Area of Building - 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 - 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.
Unpublished Data: Unpublished data at the municipal level may also be made available upon request from the Industry Statistics Division, National Statistics Office, 4th Floor Solicarel II, Ramon Magsaysay Blvd. Sta. Mesa, Manila, and Tel no. 716-39-32.
Source: National Statistics Office
Manila, Philippines
Page last revised: July 17, 2008
