Number of approved building permits down by 3.0 percent

1. Approved building permit applications nationwide summed up to 22,787 during the first quarter of 2008, representing a decrease of 3.0 percent compared with 23,499 applications received during the same period of 2007. 
    

2. Approved building permits for non-residential building construction likewise fell by 17.3 percent to 2,931 from 3,543 recorded during the same quarter of 2007. 
    

3. On the other hand, approved building permits for residential building construction went up slightly by 1.6 percent to 16,159 from 15,899 applications. 
    

4. Combined approved building permits for additions, alterations and repairs also dropped 8.9 percent to 3,697 from 4,057 approved building permits. Figure 1 compares the number of approved building permits by type of building for the first quarters of 2008 and 2007. 
    

    
    

5. At the regional level, CALABARZON consistently recorded the highest number of approved building permits with 5,127 applications or 22.5 percent of the total. This number is 30.9 percent higher compared with 3,917 applications reported during the first quarter of the previous year. National Capital Region (NCR) came next with 4,066 approved building permits or 17.8 percent of the total. 
    

6. There are six (6) provinces that registered approved building permits exceeding more than a thousand mark. These were Laguna (1,894), Cavite (1,305), Cebu (1,192), NCR-3rd District (1,164), NCR-6th district (1,078), and Bulacan (1,077). Figure 2 displays the regional distribution of approved building permit applications for the first quarter of 2008. 
    

   
    

   Aggregate value of construction drops 36.9 percent 
    

7. Total value of construction during the first quarter of 2008 estimated at P30.1 billion plunged to 36.9 percent from P47.7 billion recorded during the same period of 2008. 
    

8. Value of residential building construction, estimated at P14.4 billion, was slightly lower by 1.3 percent from P14.6 billion recorded during the same period of 2007. 
    

9. Value of non-residential building construction fell by 54.5 percent to P13.3 billion from P29.3 billion recorded during the same quarter of the previous year. 
    

10. Similarly, combined value for additions, alterations and repairs, estimated at P2.3 billion, shrank by 38.8 percent from P3.8 billion registered during the same quarter of the previous year. Figure 3 compares the aggregate value of construction by type of building for the first quarters of 2007 and 2008. 
     

     
     

11. Regionwise, value of construction in the National Capital Region (NCR) consistently remained highest at P12.4 billion, accounting for 41.3 percent share of the total value. CALABARZON and Central Luzon followed a far second and third with shares of 11.7 percent (P3.5 billion) and 11.1 percent (P3.3 billion), respectively. 
     

    Average cost per square meter of residential building construction is P6,904 
     

12. Total value of construction for residential buildings reached P14.4 billion with a total floor area of 2.1 million square meters, translating to an average cost of P6,904 per square meter. 
     

13. Single type residential units accounted for majority of residential building construction with 13,919 approved building permits or 86.1 percent of the total. This type of residential building construction had a total floor area of 1.6 million square meters, and an aggregate value of P11.6 billion bringing an average cost of P7,229 per square meter. 
     

14. Approved building permits for apartment/accessoria followed far behind with 1,814 applications representing 11.2 percent of total residential construction. The total floor area reported for this type is 227.1 thousand square meters and an estimated construction value of P1.5 billion or an average cost of P6,604 per square meter. Figure 4 shows the comparison of the number and value by type of residential building construction during the first quarters of 2008. 
     

     
     

    Average cost per square meter of non-residential building construction is P7,702 
     

15. Value of non-residential building construction was estimated at P13.3 billion during the first quarter of 2008. The corresponding total floor area was recorded at 1.7 million square meters, translating to an average cost of P7,702 per square meter. 
     

16. Commercial type of building construction, which comprised 58.8 percent of non-residential building construction, had a total of 1,504 approved building permits. Value of construction for this type reached P9.3 billion with a total floor area of 1.1 million square meters or an average cost of P8,439 per square meter. 
     

17. Institutional building construction registered 421 approved building permits, total floor area of 255.5 thousand square meters and construction value of P2.1 billion. 
     

18. The least number for non-residential building construction was reported for the agricultural type of building with 214 approved building permits or 7.3 percent of the total. Value of construction for this type reached P0.1 billion with a total floor area of 45.9 thousand square meters or an average cost of P2,248 per square meter. Figure 5 shows the number and value by type of non-residential building construction during the first quarter of 2008.

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 Mountain Province, Masbate, Isabela City, Zamboanga Sibugay, Basilan, Misamis Occidental and Sulu 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:

1. 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. 
    

2. 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.

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

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.

Commercial Buildings - 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 - All buildings which are 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 - All buildings which are 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 - All buildings which are used to house livestocks, plants and agricultural products such as barn, poultry house, piggeries, stables, greenhouses and grain mill.

Other Non Buildings Constructions - These include cemetery structures, street furnitures, waiting sheds, communication towers, etc.

Addition - Any new construction which increases the height or area of an existing building/structure.

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

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

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