Construction Statistics from Approved Building Permits Philippines 2023
Number of Constructions
1. Number of constructions declined
The total number of constructions from approved building permits for the year 2023 reached 163,663. This indicates an annual decline of 3.4 percent from 169,432 total number of constructions in the previous year. The number of constructions increased at an annual rate of 4.2 percent in 2022. (Tables A and 1)
2. Residential buildings had the highest number of constructions
By type of construction, residential buildings reported the highest number of 110,532 constructions or 67.5 percent of the total number of constructions in 2023. It registered an annual drop of 8.7 percent from the previous year’s level of 121,106 constructions. Majority of the total residential constructions were single-type houses with 95,061 (86.0%). (Figure 1, and Tables A and 1)
Meanwhile, non-residential type of construction was the second highest in terms of number of constructions at 35,162 or 21.5 percent of the total number of constructions in 2023. This type of construction increased during the year at an annual rate of 18.6 percent. Most of the non-residential constructions were commercial buildings with 24,851 (70.7%). (Figure 1, and Tables A and 1)
Addition, which refers to any new construction that increases the height or area of an existing building, and alteration and repair of existing structures contributed 3.6 percent and 7.4 percent, respectively, to the total number of constructions in 2023. Compared with their respective annual rates in 2022, addition to existing structures recorded an annual increment of 16.8 percent, while alteration and repair posted an annual decrease of 11.4 percent. (Tables A and 1)
3. Number of constructions was highest in CALABARZON
CALABARZON ranked first in terms of the number of constructions, with 40,332 constructions or 24.6 percent share to the total in 2023. Completing the top three regions were Central Visayas with 18,631 constructions (11.4%) and Central Luzon with 18,583 constructions (11.4%). (Figure 2 and Table 2)
Value of Constructions
1. Total value of constructions increased
In 2023, the total value of constructions amounted to PhP 457.36 billion, indicating an increase of 6.0 percent from PhP 431.37 billion value of constructions posted in 2022. (Tables A and 1)
2. Non-residential buildings recorded the highest value of constructions
Non-residential building constructions valued at PhP 219.56 billion accounted for 48.0 percent of the total value of constructions in 2023. This represents an increment of 17.6 percent from the PhP 186.68 billion construction value recorded in 2022. Among non-residential constructions, commercial-type buildings had the highest value of constructions at PhP 108.08 billion (49.2%). (Figure 3, and Tables A and 1)
Meanwhile, the construction value of residential buildings amounted to PhP 200.85 billion or 43.9 percent of the total construction value registered in 2023. This reflects a decline of 4.7 percent from the PhP 210.76 billion value of constructions reported in the previous year. Among residential constructions, single-type houses posted the highest value of constructions at PhP 146.08 billion (72.7%). (Figure 3, and Tables A and 1)
The construction value of addition to and alteration and repair of existing structures were recorded at PhP 5.44 billion (1.2%) and PhP 31.51 billion (6.9%), respectively. Both types of construction registered increases in their value of constructions compared with the previous year, posting annual rates of 24.2 percent for addition to existing structures and 6.6 percent for alteration and repair. (Tables A and 1)
3. Top three regions collectively contributed more than half to the total value of constructions
The combined shares of the top three regions in terms of value of constructions amounted to PhP 239.84 billion (52.4%). These regions were:
a) CALABARZON, PhP 105.54 billion (23.1%);
b) National Capital Region, PhP 74.93 billion (16.4%); and
c) Central Luzon, PhP 59.37 billion (13.0%).
(Figure 4 and Table 2)
Floor Area
1. Reported total floor area of constructions increased by 6.1 percent
The reported total floor area of constructions in 2023 was recorded at 39.54 million square meters. This translates to an annual increase of 6.1 percent compared with the 37.28 million square meters floor area of constructions in 2022. (Tables A and 1)
2. Non-residential buildings comprised more than half of the total floor area of constructions
Non-residential constructions accounted for 21.76 million square meters or 55.0 percent of the total floor area of constructions in 2023, which reflects an annual increment of 24.2 percent from the 17.52 million square meters in 2022. (Figure 5, and Tables A and 1)
On the other hand, residential buildings recorded 17.28 million square meters or 43.7 percent of the total floor area of constructions in 2023. This indicates an annual drop of 10.4 percent compared with the previous year’s floor area of 19.29 million square meters. (Figure 5, and Tables A and 1)
Average Cost per Square Meter
1. Average cost of constructions declined
The total average cost per square meter of construction in 2023, excluding those for alteration and repair, and other non-residential, amounted to PhP 10,706.83. This translates to an annual decline of 0.2 percent from the PhP 10,732.71 average cost per square meter reported in 2022. (Table 1)
2. Residential buildings had the highest average cost of constructions
Among types of constructions, residential buildings registered the highest average cost per square meter of PhP 11,625.47 in 2023. This was followed by addition to existing structures with PhP 10,748.64 per square meter and non-residential constructions with PhP 9,976.55 per square meter. (Table 1)
3. Residential condominiums were the most expensive among types of residential constructions
Among residential constructions, residential condominiums posted the highest average cost of PhP 13,735.03 per square meter in 2023. Meanwhile, the lowest average cost of PhP 7,738.32 per square meter was recorded in other types of residential constructions not elsewhere classified. (Figure 6a and Table 1)
4. Institutional-type buildings had the highest cost among non-residential buildings
Among non-residential constructions, institutional-type buildings reported the highest average cost of PhP 13,477.11 per square meter during the year. On the other hand, agricultural-type constructions continued to register the lowest average cost of PhP 6,316.81 per square meter. (Figure 6b and Table 1)
DIVINA GRACIA L. DEL PRADO, PhD
Assistant Secretary
Deputy National Statistician
Sectoral Statistics Office
TECHNICAL NOTES
Construction Statistics from Approved Building Permits
I. Introduction
I.1. Introduction
The Philippine Statistics Authority (PSA) serves as the central statistical authority of the government on primary data collection which includes the consolidation of selected administrative recording systems. Construction statistics from approved building permits is one of the data generated by PSA based on administrative records. It is compiled by PSA from the copies of approved building permits issued by the Local Building Officials (LBOs) of the Local Government Units (LGUs).
However, the approved building permits issued by LBOs is just one of the sources of construction statistics. Other sources of construction statistics are the surveys of construction establishments and enterprises conducted by the PSA, and the administrative-based data from the Department of Public Works and Highways (DPWH) and the Commission on Audit.
This Special Release presents the final annual data on construction statistics from approved building permits for the year 2023. The final annual data includes additional approved building permits collected after the monthly cut-off date, which is 40 days after the reference quarter. Data are presented at the regional, provincial and/or Highly Urbanized City (HUC) levels with monthly and quarterly disaggregation.
I.2. Objectives
Construction statistics from approved building permits aim to provide monthly administrative-based data on building constructions at the municipality level nationwide. Statistics generated are the following:
1. number of units/buildings
2. floor area of the buildings
3. types of construction
4. value of construction
I.3. Historical Background
The collection of approved building permit forms started in 1977 when the then National Census and Statistics Office (NCSO) (now part of the PSA) and the Ministry of Local Government and Community Development entered into an informal agreement in 1976 to implement the provisions of the National Building Code (NBC) and to monitor the building permit forms.
Later, on 11 July 1979, a Memorandum of Agreement (MOA) between the NCSO and the former Ministry of Public Works, Transportation and Communication (MPWTC) (now the DPWH) defined the agencies’ responsibilities in the generation of construction statistics. The NCSO was responsible for the collection, processing, analysis, and dissemination of construction statistics, while MPWTC shouldered the printing of the building permit forms from 1980 onwards.
In 1993, a joint Memorandum Circular was issued by the Department of Interior and Local Government and the DPWH defining the duties and responsibilities of the municipal/city engineers relative to the implementation of the NBC and in the production of construction statistics from approved building permits. As a result, the printing of the building permits and certificate of completion forms became the responsibility of the LBOs.
On 15 July 2005, the DPWH through the National Building Code Development Office (NBCDO) issued Memorandum Circular No. 01 series of 2005 instructing all LBOs to implement the revised Implementing Rules and Regulations (IRR) including the use of the new building permit form.
The building permit form under the old IRR is valid for use by LGUs until today.
I.4. Scope and Coverage
Construction statistics presented in this special release are based on the approved building permits on new constructions, additions, and alterations and repairs of existing residential and non-residential buildings, and other structures, which are proposed to be constructed in different cities/municipalities of the country.
I.5. Geographic Classification
For 2023, building constructions are classified and presented by geographic area using the Philippine Standard Geographic Classification (PSGC) as of December 2022.
II. Data Collection
II.1. Data Collection
The collection of the approved building permits from the LBOs is done within the first five working days after each reference month by a PSA field staff.
II.2. Sources of Data
Construction statistics are compiled by the 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 LBOs nationwide.
II.3. Statistics Generated
Construction statistics generated from approved building permits provide monthly data on building construction at the regional and provincial levels. The statistics generated are the following:
1. number of constructions
2. floor area
3. type of construction
4. value of construction
Aside from the preliminary tables posted in the PSA website, the annual, quarterly, and monthly statistical tables at the municipality level by type of construction are available in OpenStat.
II.4. Limitations of data
Data on building constructions are based on approved applications for construction during the reference period and not on the construction work completed during the reference period.
The completeness of construction data relies on the approved applications filed in the LBOs. Hence, building constructions without approved building permits are not part of the tabulation of data.
III. Concepts and Definitions of Terms
The definition of terms is 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, 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, etc.
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 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 plants, 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., schools, museums, libraries, sanitaria, churches, hospitals.
Agricultural buildings are buildings used to house livestock, plants, and agricultural products such as barns, poultry houses, piggeries, stables, greenhouses, and grain mills.
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 their value and quality.
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.
IV. Dissemination of Results and Revision
IV.1 Dissemination
The final results of construction statistics are made public in the form of Annual Special Release. The Annual Special Release is a consolidated report of the quarterly preliminary data including data from approved building permit applications which were submitted after the cut-off date of each month. Results are posted seven months after the reference year at the PSA website. The statistical tables are also available in OpenStat.
Note: The statistical tables are posted at the PSA OpenStat portal at:
IV.2 Revision
All documents received after the cut-off date, which is 40 days after the reference quarter, are included in the generation of revised results. The revised data of the previous quarter are reported during the release of the preliminary report of the current quarter. Revisions are made for the previous quarters until the annual report is released six months after the reference year.
V. Citation
Philippine Statistics Authority. (June 2024). Technical Notes on the Construction Statistics from Approved Building Permits. https://psa.gov.ph/technical-notes/buildingpermit
VI. Contact Information
John Paul C. Sacop
Chief Statistical Specialist
Industry Statistics Division
nonmfg.staff@psa.gov.ph
isd.staff@psa.gov.ph
For data request, you may contact the:
Knowledge Management and Communications Division
(632) 8462-6600 local 839
info@psa.gov.ph
