Construction projects stand at 29,585 in the first quarter  

1. The country’s private construction projects authorized by building permits in the first quarter of 2012 totaled to 29,585. This reflects a 4.4 percent annual increase from 28,347 construction projects during the same quarter in 2011 (see Table A).
2. An increase in applications over the same period of last year was observed for both residential and non-residential constructions. Residential construction went up by 3.1 percent to 21,424 from 20,784. While non-residential construction rose by 16.9 percent to 4,085 from 3,495.
3. Furthermore, combined approved building permits for additions, alterations and repairs of existing structures was 4,076, reflecting a 0.2 percent increase from 4,068 recorded during the same quarter of 2011. Figure 1 compares the number of construction projects by type for the first quarters of 2011 and 2012.

4. Among the regions, the most number of construction projects were located in CALABARZON (Region IVA) with 6,362 accounting for 21.5 percent of the total. Other regions with two thousand or more construction projects were as follows:

• Central Visayas (Region VII) with 3,830, (12.9%)
• Central Luzon (Region III) with 3,814, (12.9%)
• National Capital Region (NCR) with 3,179, (10.7%)
• Davao Region (Region XI) with 2,186, (7.4%).

5. At the provincial level, Cavite reported the biggest number of construction projects with 2,015 or 6.8 percent of the total. This was followed by the province of Cebu with 2,007 (6.8%) construction projects. Other provinces which exceeded a thousand mark were:

• Bulacan with 1,768, (6.0%)
• Laguna with 1,533, (5.2%)
• Rizal with 1,262, (4.3%)
• Davao del Sur with 1,237, (4.2%)
• Batangas with 1,151, (3.9%).

Figure 2 shows the distribution of new construction projects by region.       

    Total value of construction slumps 6.8% to PHP49.2 billion

6. Total value of construction for the first quarter of 2012 slumped 6.8 percent to PHP49.2 billion from PHP52.8 billion recorded during the same quarter of 2011.

7. Similarly, value of residential construction exhibited a decrease of 17.5 percent amounting to PHP23.3 billion from PHP28.2 billion during the same period of the previous year.

8. Value of non-residential construction, on the other hand, rose 2.3 percent amounting to PHP19.8 billion from PHP19.4 billion registered during the same period of 2011.

9. Furthermore, combined value for additions, alterations and repairs of existing structures, estimated at PHP6.0 billion, increased by 17.0 percent from PHP5.2 billion registered during the same period of 2011. Figure 3 compares the aggregate value of construction by type for the first quarters of 2011 and 2012.

10.  Among regions, value of construction for the NCR remained highest at PHP16.8 billion, accounting for 34.3 percent share of the total value. CALABARZON and Central Luzon ranked a far second and third with respective shares of 16.5 percent (PHP8.1 billion) and 13.0 percent (PHP6.4 billion).

Average cost per square meter of residential buildings is PHP8,236

11. Total value of construction for residential buildings was estimated at PHP23.3 billion with a total floor area of 2.8 million square meters, translating to an average cost of PHP8,236 per square meter. This represents a slight decrease of 4.8 percent compared with the average cost of PHP8,654 per square meter of the previous year.

12. Among the residential constructions, single-type recorded the most number of projects with 18,478 accounting for 86.2 percent of the total. Total value of construction for this type reached PHP14.7 billion covering a total floor area of 1.8 million square meters, translating to an average cost of PHP7,964 per square meter.

13. Apartment/accessoria-type followed next with 2,494 construction projects representing 11.6 percent of total residential construction. This type of residential building had an estimated construction value of PHP4.6 billion with a total floor area of 630.5 thousand square meters or an average cost of PHP7,260 per square meter.

14. Duplex-type building recorded a total of 365 construction projects or 1.7 percent of the total residential construction. Total construction value for this type amounted to PHP525.9 million and a total floor area of 66.1 thousand square meters or an average cost of PHP7,955 per square meter. Figure 4 displays the percentage distribution of the number and value of residential construction by type for the first quarter of 2012.

Commercial-type building dominates non-residential construction

15. Value of non-residential construction for the first quarter of 2012 summed-up to PHP19.8 billion pesos with a total floor area of 2.2 million square meters. This translates to an average cost of PHP8,888 per square meter, a drop of 3.6 percent from the previous year’s average cost of PHP9,220.

16. Commercial-type building dominated all other types of non-residential construction with 2,331 projects or 57.1 percent of the total. Total value of construction for this type was estimated at PHP11.2 billion covering a total floor area of 1.4 million square meters or an average cost of PHP8,193 per square meter.

17. Institutional building construction ranked a far second with 648 construction projects (15.9%), construction value of PHP5.1 billion and a total floor area of 417.6 thousand square meters or an average cost of PHP12,244 per square meter.

18. Industrial-type building followed next with 422 construction projects (10.3%). Total value of construction for this type amounted to PHP3.0 billion with a total floor area of 330.5 thousand square meters. This expresses to an average cost of PHP8,933 per square meter.

19. The least number of non-residential construction was reported for agricultural-type with 262 or 6.4 percent of the total. Construction value was estimated at PHP318.0 million covering a total floor area of 118.8 thousand square meters, translating to an average cost of PHP2,678 per square meter. Figure 5 shows the number and value of non-residential construction by type for the first quarter of 2012.

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 all over the country.

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 is 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 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 an 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 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 constructions consist of school or company staff houses, living quarters for drivers and maids and guardhouses.

Non-residential building includes these type 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 livestocks, 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.

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.

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

Demolitions refer to the systematic dismantling or destruction of a building/structure 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.

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 Bldg. II, Ramon Magsaysay Blvd. Sta. Mesa, Manila, and Tel no. 716-39-32.